📊 International Economics
Q. According to the Heckscher - Ohlin model, if the United States is richly endowed in human capital relative to Mexico, then as NAFTA increasingly leads to more bilateral free trade between the two countries,
  • (A) The United States will find its industrial base sucked into Mexico
  • (B) Mexico will find its relatively highly skilled workers drawn to the United States
  • (C) The wages of highly skilled U.S. workers will be drawn down to Mexican levels
  • (D) The wages of highly skilled Mexican workers will rise to those in the United States.
💬 Discuss
✅ Correct Answer: (D) The wages of highly skilled Mexican workers will rise to those in the United States.

You must be Logged in to update hint/solution

💬 Discussion

Related Posts

Q. __________ are profits that accrue to whomever has the right to import the good that is restricted by the quota.

Q. Under a fixed exchange rate system, a contractionary fiscal policy leads to a worsening in a nation’s balance-of-payments position if the resulting:

Q. The value to American residents of income earned from overseas investments shows up in which account in the U.S. balance of payments?

Q. Why do some people argue against free international trade?

Q. If a country decreases the external value of its currency, it will affect:

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. It is drawback of free trade:

Q. Which is NOT an advantage of international trade:

Q. In a floating exchange rate system:

Q. When was the International Monetary Fund (IMF) set up?

📱 Download Our App

Learn MCQs on the go with our easy-to-use Android app

Get it on Google Play

📊 Question Analytics

👁️
757
Total Visits
📽️
1 y ago
Published
🎖️
Vikash Gupta
Publisher
📈
87%
Success Rate