If the price of the capital - intensive product rises more than does the price of the land- intensive product,then
A)the country that exports the capital- intensive good will lose its comparative advantage.
B)demand will shift away from the capital- intensive product,and its production will decrease relative to that of the land- intensive product.
C)demand will shift away from the capital- intensive product,and its production will decrease.
D)the relative price of the capital- intensive product will fall to some point between the pretrade relative prices.
E)the production of the capital- intensive product will decrease,but by less than production of the land- intensive product.

Question

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The Answer of If the price of the capital - intensive product rises more than does the price of the land- intensive product,then
A)the country that exports the capital- intensive good will lose its comparative advantage.
B)demand will shift away from the capital- intensive product,and its production will decrease relative to that of the land- intensive product.
C)demand will shift away from the capital- intensive product,and its production will decrease.
D)the relative price of the capital- intensive product will fall to some point between the pretrade relative prices.
E)the production of the capital- intensive product will decrease,but by less than production of the land- intensive product.

If the Price of the Capital - Intensive Product Rises