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Business, 25.02.2020 21:26 ayshearouse1203

In a two-country world, if country A is the relatively labor-abundant and country B is the relatively capital-abundant country by the "price" definition of factor abundance (and where w is the wage rate and r is the return to capital), then . When the countries move from autarky to Heckscher-Ohlin-type trade, the result will be that .

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