What are the effects of transportation costs

Assignment Help International Economics

Reference no: EM131899960

Problem

1. What are the effects of transportation costs on international trade patterns?

2. Explain how the international movement of products and of factor inputs promotes an equalization of the factor prices among nations.

3. How does the Heckscher-Ohlin theory differ from Ricardian theory in explaining international trade patterns?

3. The Heckscher-Ohlin theory demonstrates how trade affects the distribution of income within trading partners. Explain.

Reference no: EM131899960

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