Which country will income inequality decrease

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Question

Sri Lanka (22 million people and $60 billion GDP) and Brunei (410,000 people and $17 billion GDP) are both nations near the Asian continent. Assume that neither trades with other nations, but are contemplating trading with each other.

(Hecksher-ohlin) : if they trade , who wins and who loses in Brunei ? How about in? Sri Lanka?

In which country will income inequality decrease? Where will it increase ?

Reference no: EM133469179

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