For years, many U.S. corporations made cameras. Today; however, most cameras sold in the United States are imported from Japan and few are manufactured in the United States. Which trade theory does this demonstrate?
A) product life cycle
B) Heckscher-Ohlin
C) absolute advantage
D) comparative advantage
E) mercantilism

Question

Quizplus · Accepted Answer

This situation illustrates the product life cycle theory, where production shifts to different countries as products mature and become standardized, leading to imports from countries like Japan.

For Years, Many U