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The Heckscher-Ohlin Theory Predicts That Trade Between Similar Industrialized Countries

Question 6

Multiple Choice

The Heckscher-Ohlin theory predicts that trade between similar industrialized countries should:


A) be much greater than trade between developed and developing countries.
B) be rather limited in volume.
C) consist mainly of highly sophisticated manufactured goods.
D) be bidirectional with one country exporting products to the other countries and simultaneously importing very similar products from them.

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