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Commerce · Q140

Business Environment and International Business

Graduate and Post Graduate · Commerce · question 140

Q140

To ensure the validity of Heckscher-Ohlin theory of trade to be valid, the relative factor endowments of two countries should be

A.
close to each other
B.
as divergent as possible
Answer
C.
identical
D.
none of these

Answer: Option B

Solution

Answer: Option B
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