For which of the following does the HeckscherOhlin model
Offer an explanation?
I.gains from trade
II.the pattern of trade.
III.the effects of international trade on the returns to
Mobile resources.
A)I
B)I and II
C)I and III
D)I, II, and III

Question

For which of the following does the Heckscher­Ohlin model
Offer an explanation?
I.gains from trade
II.the pattern of trade.
III.the effects of international trade on the returns to
Mobile resources.
A)I
B)I and II
C)I and III
D)I, II, and III

Quizplus · Accepted Answer

The Heckscher-Ohlin model explains gains from trade by showing how countries benefit from specializing in the production of goods for which they have a comparative advantage. It also explains the pattern of trade based on differences in factor endowments between countries. Additionally, it addresses the effects of international trade on the returns to mobile resources, as trade can alter the demand for factors of production, affecting their returns.

For Which of the Following Does the Heckscher­Ohlin Model

For Which of the Following Does the HeckscherOhlin Model