? In the Heckscher-Ohlin model, when there is equilibrium international-trade A.the relative price of the capital intensive
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In the Heckscher-Ohlin model, when there is equilibrium international-trade A.the relative price of the capital intensive good in the capital rich country will be the same as that in the capital poor country. B.the capital rich country will charge less for the capital intensive good than the price paid by the capital poor country for the capital-intensive good. C.the capital rich country will charge more for the capital intensive good than the price paid by the capital poor country for the capital-intensive good. D.workers in the capital rich country will earn more than those in the poor country. E.the workers in the capital rich country will earn less than those in the poor country. In the Heckscher-Ohlin model, when there is equilibrium international-trade A.the relative price of the capital intensive good in the capital rich country will be the same as that in the capital poor country. B.the capital rich country will charge less for the capital intensive good than the price paid by the capital poor country for the capital-intensive good. C.the capital rich country will charge more for the capital intensive good than the price paid by the capital poor country for the capital-intensive good. D.workers in the capital rich country will earn more than those in the poor country. E.the workers in the capital rich country will earn less than those in the poor country.
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D Workers in the capital rich country will earn more than those in the poor country It is commonly b... View the full answer
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Macroeconomics Principles, Applications, and Tools
ISBN: 978-0132555234
7th Edition
Authors: Arthur O Sullivan, Steven M. Sheffrin, Stephen J. Perez
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