Eli Heckscher and Bertil Ohlin are associated with the theory of comparative advantage that stresses differences in:
A) Income levels among countries
B) Tastes and preferences among countries
C) Resource endowments among countries
D) Labor productivities among countries

Question

Quizplus · Accepted Answer

Eli Heckscher and Bertil Ohlin's theory of comparative advantage emphasizes the differences in resource endowments among countries as the major factor in determining their relative strengths in different areas of production. They argued that countries should specialize in producing goods and services that utilize their abundant resources and trade with other countries for goods and services that they cannot produce efficiently. Therefore, C is the best choice for this question.

Eli Heckscher and Bertil Ohlin Are Associated with the Theory