In the early 1950s, the United States was abundant in capital and, therefore, should have been exporting more capital-intensive goods.However, contrary to the factor proportions theory, the United States was importing more capital-intensive goods and exporting labor-intensive goods.This is an example of:
A) the product life cycle.
B) mercantilism.
C) the Leontief Paradox.
D) protectionism.
E) neo-mercantilism.
Correct Answer:
Verified
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