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Q. If relatively capital-abundant country A opens trade with relatively labor- abundant country B an the trade takes place in accordance with the Heckscher-Ohlin Theorem. What would be the consequence for factor prices (w/r) in the two countries?

Q. If a commodity is classified as "labor-intensive" at one set of relative factor prices but "capital-intensive" at another set of relative prices, this situation is known as

Q. Which of the following is false (for the Heckscher-Ohlin model)?

Q. An implication of the Heckscher-Ohlin Theorem is that

Q. As opposed to the Ricardian model of comparative advantage, the assumption of diminishing returns in the Heckscher-Ohlin model means that the probability is greater that with trade

Q. Theory of comparative advantage was presented by:

Q. While technologies have reduced the negative effect that distance has on trade,

Q. An Exchange rate is said to __________ when its short-run response to a change in market Fundamentals is greater than its long-run response. a

Q. Which of the following is international trade:

Q. A(n) __________ is an example of a quota where foreigners hold quota licenses.