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Homework answers / question archive / According to the Heckscher-Ohlin model, what is the income distribution result when a country opens to free trade? A) The income distribution effect depends on the production levels in autarky

According to the Heckscher-Ohlin model, what is the income distribution result when a country opens to free trade? A) The income distribution effect depends on the production levels in autarky

Economics

According to the Heckscher-Ohlin model, what is the income distribution result when a country opens to free trade? A) The income distribution effect depends on the production levels in autarky. B) Everyone gains from trade because free trade is always beneficial C) The owners of abundant factors lose, and owners of scarce factors gain, The owners of abundant factors gain, but the effect on the owners of scarce factors is ambiguous E) The owners of scarce factors lose, and the owners of abundant factors gain Soruyu Bo? Burak

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