Leontief discovered a "paradox" in his test of the HOmodel
For the United States.He expected the United States to
Export _____intensive goods and import _____ intensive
Goods; but his study indicated the reverse was TRUE.
A)land; technology
B)labor; land
C)capital; labor
D)labor; capital

Question

Leontief discovered a "paradox" in his test of the HO­model
For the United States.He expected the United States to
Export _____­intensive goods and import _____­ intensive
Goods; but his study indicated the reverse was TRUE.
A)land; technology
B)labor; land
C)capital; labor
D)labor; capital

Quizplus · Accepted Answer

Leontief's paradox found that the U.S., which was capital-abundant, exported labor-intensive goods and imported capital-intensive goods, contrary to the expectations of the Heckscher-Ohlin model.

Leontief Discovered a "Paradox" in His Test of the HO­model

Leontief Discovered a "Paradox" in His Test of the HOmodel