Chap010

Chap010 - Chapter 10 - Post-Heckscher-Ohlin Theories of...

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Chapter 10 - Post-Heckscher-Ohlin Theories of Trade and Chapter 10 Post-Heckscher-Ohlin Theories of Trade and Multiple Choice Questions FIGURE 1 1. (This question pertains to material in Appendix A.) Given the convex to-the-origin production-possibilities frontier (PPF) in Figure 1, 1. If this movement takes place, (PX/PY) will be __________ (MCX/MCY), and production will thus move __________. a. Less than; back to point E b. Less than; further away from point E c. Greater than; back to point E D . Greater than; further away from point E 10-1
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Chapter 10 - Post-Heckscher-Ohlin Theories of Trade and 2. (This question pertains to material in Appendix A.) Suppose that two countries each have the exact convex-to-the-origin production- 2. In this situation, a. Neither of the two countries could never gain from trade with each other b. One country could gain from trade with the other but they could never both gain from the trade c. Both countries would go to the same endpoint of the PPF if the two countries engaged in trade with each other D . It is possible for the two countries to gain from trade with each other if one country produces at one endpoint of the PPF and the other country produces at the other endpoint of the PPF 10-2
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Chapter 10 - Post-Heckscher-Ohlin Theories of Trade and 3. (This question pertains to material in Appendix C.) Suppose that country A has only three categories of traded goods and that A's exports and imports in the three categories are as shown in the table below: In this situation, country A's index of intra-industry trade would have a value of __________. a. 0.3
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Chap010 - Chapter 10 - Post-Heckscher-Ohlin Theories of...

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