Which of the following is the reason why most economists prefer Heckscher-Ohlin theory to Ricardo's theory?
A) Heckscher-Ohlin stresses on the differences in productivity between nations.
B) Ricardo's theory considers factor endowments to describe national competitiveness.
C) Heckscher-Ohlin theory makes fewer simplifying assumptions.
D) Ricardo's theory considers the law of marginal returns.
Correct Answer:
Verified
Q65: One of the advantages of being the
Q74: Which of the following terms refers to
Q75: Which of the following factors, according to
Q76: Porter argues that a nation's firms gain
Q77: Which of the following theories stress the
Q78: Textile industry in a nation is characterized
Q80: Which of the following is a major
Q81: Factor endowments refer to the extent to
Q82: Which of the following is true regarding
Q84: Underlying most of the trade theories discussed
Unlock this Answer For Free Now!
View this answer and more for free by performing one of the following actions
Scan the QR code to install the App and get 2 free unlocks
Unlock quizzes for free by uploading documents