In the factor-proportions theory, both countries start with the same factor endowments.

Name: In the factor-proportions theory, both countries start with the same factor endowments.
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The factor-proportions theory, also known as the Heckscher-Ohlin theory, posits that countries have different factor endowments and that these differences drive international trade, with countries tending to export goods that intensively use their abundant factors of production.

In the Factor-Proportions Theory, Both Countries Start with the Same