1.When consumer preferences are the same across countries, what factor determines comparative advantage?
2.Which of the following measures might be adopted under industrial policies aimed at enhancing the comparative advantage of local industries?
3.The product cycle theory of international trade is primarily classified as which type of trade theory?
4.In the Heckscher-Ohlin model, which assumption eliminates the classical explanation for trade by stating that _________ is the same across nations?
5.When does international trade lead to a reduction in the cost per unit of production?
6.What does the theory of dynamic comparative advantage primarily explain?
7.Which trade theory emphasizes that the extent of division of labor is constrained by the market's size?
8.Which 1954 research on U.S. trade patterns revealed that American exports were more labor-intensive than imports, despite the U.S. being recognized as a capital-rich country?
9.In the United States, empirical research over the last two centuries shows that the cost of international shipping compared to the value of U.S. imports has:
10.According to the Heckscher-Ohlin trade theory associated with Swedish economists, what primarily influences a country's export patterns?
11.Which trade theory explains that a country that first creates and exports a new product might later start importing it and stop producing it domestically?
12.Who are credited with formulating the factor endowment theory in international trade?
13.Which of the following is NOT a factor that explains interindustry trade?
14.Under what condition will a product be traded between two countries based on the price difference before trade?
15.Consider two countries: Country A, which has a relative abundance of labor, and Country B, which is relatively rich in land. Given that wages represent labor income and rents represent land income, what does the factor price equalization theorem predict will happen in Country A after it specializes based on comparative advantage and starts trading with Country B?
16.Who were the original developers of the factor endowment theory?
17.How can the findings of Wassily Leontief be best understood?
18.Why were Leontief's findings considered surprising in relation to the United States?
19.What was the purpose of Wassily Leontief's empirical analysis using an input-output table?
20.Wassily Leontief employed an input-output table to examine which theory of comparative advantage?