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what does the H-O theory postulate? please answer it in English

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解决时间 2021-11-10 19:53
  • 提问者网友:凉末
  • 2021-11-10 16:20
what does the H-O theory postulate? please answer it in English
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  • 五星知识达人网友:轮獄道
  • 2021-11-10 17:56
the Heckscher-Ohlin theoty is based on a number of simplifying assumptions,those are:
1. there are two nations, two commodities, and tao factors of production(labor and capital)
2. both nations use the same technology in production.
3. commodity X is labor intensive, and commodity Y is capital intensive in both nations.
4. both commdities are produced under constant returns to scale in both nations.
5. there is incomplete specialization in production in both nations.
6. tastes are equal in both nations.
7. there is perfect competition in both commdities and factor markets in both nations.
8. there is perfct factor mobility within each nation but no international factor mobility.
9. there are no ransportation costs, tariffs, or other oobstructions to the free flow of international trade
10. all resources are fully employed in both nations
11 international trade between the two nations is balanced
the part of the the H-O theory that postulates that a nation will export the commodity intensive in its relatively abundant and cheap factor and import the commodity intensive in its relatively scarce and expensive factor.
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  • 1楼网友:爱难随人意
  • 2021-11-10 19:03
Hydroxide theoretical assumptions? You are not build castles in the air, who knows can say in English? Would be a disciple me.

I say you are an idiot!
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