Labor-intensive goods and exporting capital-intensive goods

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Heckscher Ohlin's theory states that the United States should export capital-intensive goods because it has an abundance of them. It should be importing labor-intensive goods, rather than exporting them because it is deficient in them. Evaluate and explain the implications of importing labor-intensive goods and exporting capital-intensive goods. If there are negative effects of this process, describe the possible recommendations to deal with them.

Reference no: EM132677924

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