ch.5 The Heckscher-Ohlin Model Flashcards
(11 cards)
1
Q
what is the general intuition/predictions behind the H.O model?
A
2
Q
What are the assumptions of the model? What are the assumption of the production function?
A
3
Q
What are the key differences with the other models?
A
4
Q
How do we define capital intensity?
A
5
Q
How do we represent the input combinations? How the costs?
A
6
Q
How is input choose looking at costs?
A
7
Q
How can we represent factor intensity in the input combination graph?
A
8
Q
How do we derive the relative factor demand?
A
9
Q
What is the effect of a change in relative price?
A
10
Q
How does factor intensity react to a relative change in prices? How is it represented?
A
11
Q
What is the effect of trade? Why does it affect relative prices?
A
