The _____ theory attributes the comparative advantage of a nation to its factor endowments.

Question

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The Heckscher-Ohlin theory, also known as the factor proportions theory, states that a country will have a comparative advantage in producing goods that utilize their abundant factors of production and import goods that use their scarce factors of production. Therefore, it attributes the comparative advantage to factor endowments.

The _____ Theory Attributes the Comparative Advantage of a Nation