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Which of the following statements regarding the heckscher-ohlin model and Ricardian trade theory is TRUE?
a. Both the Heckscher-Ohlin and Ricardian models are current, relevant, and applicable in explaining world trade patterns
b. The Ricardian model is an excellent simplified introduction to world trade patterns, but the Heckscher-Ohlin model is more relevant in regards to explaining empirical evidence
c. The Ricardian model is useless in explaining trade patterns, and the H-O theory, though applicable, is not sufficient for explaining real world trade patterns
d. The Ricardian model is extremely useful in analyzing trade patterns, but the H-O model is only useful in theoretical applications.
No indifference curve can intersect due to all points on indifference curve are ranked equally preferred and ranked or less more preferred than each other point on the curve.
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