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In the 2-factor, 2 good Heckscher-Ohlin model, an influx of workers from across the border would

Chako

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8 years ago

In the 2-factor, 2 good Heckscher-Ohlin model, an influx of workers from across the border would

In the 2-factor, 2 good Heckscher-Ohlin model, an influx of workers from across the border would
A) shift the production possibility curve outward, and increase the production of both goods.
B) move the point of production along the production possibility curve.
C) shift the possibility curve outward and displace preexisting labor.
D) shift the production possibility curve outward and decrease the production of the labor-intensive product.
E) shift the production possibility curve outward and decrease the production of the capital-intensive product.

Textbook

International Economics: Theory and Policy

Edition: 10^th

Author: Krugman

Read 170 times

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machukian

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Chako Author

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8 years ago

Makes a lot of sense, and you're right.. I appreciate the input

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machukian

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8 years ago

Thanks for the feedback, I'm sure others will appreciate it too

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