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Chako Chako
wrote...
Posts: 2948
8 years ago
Suppose that there are two factors, capital and land, and that the United States is relatively land endowed while the European Union is relatively capital-endowed. According to the Heckscher-Ohlin model
A) all landowners should support free trade.
B) European capitalists should support U.S.-European free trade.
C) all capitalists in both countries should support free trade.
D) European landowners should support U.S.-European free trade.
E) the U.S. should compensate European countries once trade commences.
Textbook 
International Economics: Theory and Policy

International Economics: Theory and Policy


Edition: 10th
Author:
Read 248 times
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Replies
wrote...
8 years ago
B
Chako Author
wrote...
8 years ago
Makes a lot of sense, and you're right.. I appreciate the input
wrote...
8 years ago
Happy to help you!
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