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國際經(jīng)濟學(xué)作業(yè)國際經(jīng)濟學(xué)作業(yè)/NUM國際經(jīng)濟學(xué)作業(yè)國際經(jīng)濟學(xué)作業(yè)QuizforCh5
1)
In
the
2-factor,
2-good
Heckscher-Ohlin
model,
an
influx
of
workers
from
across
the
border
would
A)
move
the
point
of
production
along
the
production
possibility
curve.
B)
shift
the
production
possibility
curve
outward,
and
increase
the
production
of
both
goods.
C)
shift
the
production
possibility
curve
outward
and
decrease
the
production
of
the
labor-intensive
product.
D)
shift
the
production
possibility
curve
outward
and
decrease
the
production
of
the
capital-intensive
product.
E)
shift
the
possibility
curve
outward
and
displace
preexisting
labor.
2)
In
the
2-factor,
2-good
Heckscher-Ohlin
model,
the
two
countries
differ
in
A)
tastes
and
preferences.
B)
military
capabilities.
C)
the
size
of
their
economies.
D)
relative
abundance
of
factors
of
production.
E)
labor
productivities.
3)
One
way
in
which
the
Heckscher-Ohlin
model
differs
from
the
Ricardo
model
of
comparative
advantage
is
by
assuming
that
________
is
(are)
identical
in
all
countries.
A)
factor
endowments
B)
scale
of
production
C)
factor
intensities
D)
technology
E)
opportunity
costs
4)
If
a
country
produces
good
Y
(measured
on
the
vertical
axis)
and
good
X
(measured
on
the
horizontal
axis),
then
the
absolute
value
of
the
slope
of
its
production
possibility
frontier
is
equal
to
A)
the
opportunity
cost
of
good
X.
B)
the
price
of
good
X
divided
by
the
price
of
good
Y.
C)
the
price
of
good
X
divided
by
the
price
of
good
Y.
D)
the
opportunity
cost
of
good
Y.
E)
the
cost
of
capital
(assuming
that
good
Y
is
capital
intensive)
divided
by
the
cost
of
labor.
5)
The
Heckscher-Ohlin
model
differs
from
the
Ricardian
model
of
Comparative
Advantage
in
that
the
former
A)
has
only
two
countries.
B)
has
only
two
products.
C)
has
two
factors
of
production.
D)
has
two
production
possibility
frontiers
(one
for
each
country).
E)
has
varying
wage
rates.
6)
In
the
2-factor,
2-good
Heckscher-Ohlin
model,
the
country
with
a
relative
abundance
of
________
will
have
a
production
possibility
frontier
that
is
biased
toward
production
of
the
________
good.
A)
labor;
labor
intensive
B)
labor;
capital
intensive
C)
land;
labor
intensive
D)
land;
capital
intensive
E)
capital;
land
intensive
7)
In
the
2-factor,
2-good
Heckscher-Ohlin
model,
the
country
with
a
relative
abundance
of
________
will
have
a
production
possibility
frontier
that
is
biased
toward
production
of
the
________
good.
A)
labor;
capital
intensive
B)
capital;
capital
intensive
C)
land;
labor
intensive
D)
land;
capital
intensive
E)
labor;
land
intensive
8)
In
the
2-factor,
2-good
Heckscher-Ohlin
model,
the
production
possibility
frontier
is
kinked
when
A)
there
is
no
factor
substitution
in
production.
B)
the
opportunity
cost
of
production
is
constant.
C)
there
are
unemployed
factor
resources.
D)
a
country
does
not
engage
in
trade.
E)
transportation
costs
are
very
high.
9)
In
the
2-factor,
2-good
Heckscher-Ohlin
model,
trade
will
________
the
owners
of
a
country’s
________
factor
and
will
________
the
good
that
uses
that
factor
intensively.
A)
harm;
abundant;
import
B)
benefit;
scarce;
export
C)
benefit;
scarce;
import
D)
benefit;
abundant;
export
E)
harm;
scarce;
export
10)
According
to
the
Heckscher-Ohlin
model,
the
source
of
comparative
advantage
is
a
country’sA)
technology.
B)
factor
endowments.
C)
advertising.
D)
human
capital.
E)
political
system.
11)
In
the
2-factor,
2-good
Heckscher-Ohlin
model,
trade
will
________
the
owners
of
a
country’s
________
factor
and
will
________
the
good
that
uses
that
factor
intensively.
A)
harm;
abundant;
import
B)
benefit;
scarce;
export
C)
benefit;
scarce;
import
D)
harm;
scarce;
import
E)
harm;
scarce;
export
12)
The
assumption
of
diminishing
returns
in
the
Heckscher-Ohlin
model
means
that,
unlike
in
the
Ricardian
model,
it
is
likely
that
A)
countries
will
benefit
from
free
international
trade.
B)
countries
will
not
be
fully
specialized
in
one
product.
C)
countries
will
consume
outside
their
production
possibility
frontier.
D)
comparative
advantage
will
not
determine
the
direction
of
trade.
E)
global
production
will
decrease
under
trade.
13)
In
the
Heckscher-Ohlin
model,
countries
are
assumed
to
differ
only
in
terms
of
their
A)
tastes
and
preferences.
B)
available
technologies.
C)
factor
endowments.
D)
factor
productivities.
E)
physical
size.
14)
In
the
Heckscher-Ohlin
model,
when
two
countries
begin
to
trade
with
each
other
A)
relative
factor
prices
in
the
two
countries
diverge.
B)
the
relative
prices
of
traded
goods
in
the
two
countries
converge.
C)
benefits
from
trade
are
evenly
distributed
between
the
two
countries.
D)
all
factors
in
both
countries
will
gain
from
trade.
E)
all
factors
in
one
country
will
gain,
but
there
may
be
no
gains
in
the
other
country.
Assume
that
only
two
countries,
A
and
B,
exist.
15)
Refer
to
the
table
above.
If
good
S
is
capital
intensive,
then
following
the
Heckscher-Ohlin
Theory,
A)
country
B
will
export
good
S.
B)
country
A
will
export
good
S.
C)
both
countries
will
export
good
S.
D)
trade
will
not
occur
between
these
two
countries.
E)
both
countries
will
import
good
S.
16)
Refer
to
the
table
above.
If
you
are
told
that
Country
B
is
very
much
richer
than
Country
A,
then
the
correct
answer
is
A)
country
B
will
export
good
S.
B)
country
A
will
export
good
S.
C)
both
countries
will
export
good
S.
D)
trade
will
not
occur
between
these
two
countries.
E)
both
countries
will
import
good
S.
17)
Refer
to
the
table
above.
You
are
told
that
Country
B
is
very
much
larger
than
country
A.
The
correct
answer
is
A)
country
B
will
export
good
S.
B)
country
A
will
export
good
S.
C)
both
countries
will
export
good
S.
D)
trade
will
not
occur
between
these
two
countries.
E)
both
countries
will
import
good
S.
18)
Refer
to
the
table
above.
You
are
told
that
Country
B
has
no
minimum
wage
or
child
labor
laws.
Now
the
correct
answer
is
A)
country
A
will
export
good
S.
B)
both
countries
will
export
good
S.
C)
trade
will
not
occur
between
these
two
countries.
D)
country
B
will
export
good
S.
E)
both
countries
will
import
good
S.
19)
If
a
good
is
labor
intensive
it
means
that
the
good
is
produced
A)
using
labor
as
the
only
input.
B)
using
more
labor
per
unit
of
output
than
goods
that
are
not
labor
intensive.
C)
using
relatively
more
labor
than
goods
that
are
not
labor
intensive.
D)
using
labor
such
that
the
total
cost
of
labor
is
greater
than
the
total
cost
of
capital.
E)
using
labor
such
that
the
cost
of
labor
is
more
than
50%
of
total
cost.
20)
In
the
Heckscher-Ohlin
model,
when
there
is
international-trade
equilibrium
A)
the
capital
rich
country
will
charge
less
for
the
capital
intensive
good
than
the
price
paid
by
the
capital
poor
country
for
the
capital-intensive
good.
B)
the
relative
price
of
the
capital
intensive
good
in
the
capital
rich
country
will
be
the
same
as
that
in
the
capital
poor
country.
C)
the
capital
rich
country
will
charge
more
for
the
capital
intensive
good
than
the
price
paid
by
the
capital
poor
country
for
the
capital-intensive
good.
D)
workers
in
the
capital
rich
country
will
earn
more
than
those
in
the
poor
country.
E)
the
workers
in
the
capital
rich
country
will
earn
less
than
those
in
the
poor
country.
21)
If
two
countries
are
very
different
in
relative
factor
abundance,
then
empirically
support
for
which
of
the
following
would
less
likely?
A)
the
Factor
Price
Equalization
Theorem
B)
the
Heckscher-Ohlin
Theorem
C)
the
Law
of
One
Price
D)
the
Law
of
Demand
E)
the
Gravity
Theorem
22)
If
a
good
is
capital
intensive
it
means
that
the
good
is
produced
A)
using
capital
as
the
only
input.
B)
using
relatively
more
capital
than
goods
that
are
not
capital
intensive.
C)
using
more
capital
per
unit
of
output
than
goods
that
are
not
capital
intensive.
D)
using
capital
such
that
the
total
cost
of
capital
is
greater
than
the
total
cost
of
labor.
E)
using
capital
such
that
the
cost
of
capital
is
more
than
50%
of
total
cost.
23)
The
Heckscher-Ohlin
model
predicts
all
of
the
following
except
A)
which
country
will
export
which
product.
B)
which
factor
of
production
within
each
country
will
gain
from
trade.
C)
that
relative
wages
will
tend
to
become
equal
in
both
trading
countries.
D)
the
volume
of
trade.
E)
that
trade
increases
a
country’s
overall
welfare.
24)
If
Australia
has
relatively
more
land
per
worker,
and
Belgium
has
relatively
more
capital
per
worker,
then
if
trade
began
between
these
two
countries,
A)
the
relative
price
of
the
land-intensive
product
would
increase
in
Australia.
B)
the
relative
price
of
the
capital-intensive
product
would
increase
in
Australia.
C)
the
relative
price
of
the
land-intensive
product
would
increase
in
Belgium.
D)
the
relative
price
of
the
capital-intensive
product
would
decrease
in
Belgium.
E)
relative
product
prices
would
diverge
between
Australia
and
Belgium.
25)
If
Australia
has
more
land
per
worker,
and
Belgium
has
more
capital
per
worker,then
if
trade
began
between
these
two
countries,
A)
the
real
income
of
capital
owners
in
Australia
would
increase.
B)
the
real
income
of
labor
in
Australia
would
decline.
C)
the
real
income
of
landowners
in
Belgium
would
decline.
D)
the
real
income
of
labor
in
Belgium
would
decline.
E)
the
real
income
of
labor
in
both
countries
would
decline.
26)
If
Japan
is
relatively
capital
rich
and
the
United
States
is
relatively
land
rich,
and
if
food
is
relatively
land
intensive
then
trade
between
these
two,
formerly
autarkic
countries
will
result
in
A)
an
increase
in
the
relative
price
of
food
in
the
U.S.
B)
an
increase
in
the
relative
price
of
food
in
Japan.
C)
a
global
increase
in
the
relative
price
of
food.
D)
a
decrease
in
the
relative
price
of
food
in
both
countries.
E)
an
increase
in
the
relative
price
of
food
in
both
countries.
27)
Trade
benefits
a
country
by
A)
increasing
available
consumption
choices.
B)
reducing
the
need
for
specialization
in
production.
C)
reducing
the
relative
price
of
the
exported
good.
D)
increasing
the
real
income
of
all
resource
owners.
E)
increasing
the
wage
rate.
28)
If
Gambinia
has
many
workers
but
very
little
land
and
even
less
productive
capital,
then,
following
the
Heckscher-Ohlin
model,
we
predict
that
Gambinia
will
export
A)
capital-intensive
goods.
B)
labor-intensive
goods.
C)
both
capital-
and
land-intensive
goods.
D)
land-intensive
goods.
E)
both
labor-
and
land-intensive
goods.
29)
If
Gambinia
has
many
workers
but
very
little
land
and
even
less
productive
capital,
then,
following
the
Heckscher-Ohlin
model,
in
order
to
improve
the
country’s
economic
welfare,
the
Gambinian
government
should
A)
engage
in
free
trade.
B)
protect
the
capital-intensive
product.
C)
protect
the
land-intensive
product.
D)
protect
the
labor-intensive
product.
E)
discontinue
all
international
trade.
30)
Starting
from
an
autarky
(no-trade)
situation
with
Heckscher-Ohlin
model,
if
Country
H
is
relatively
labor
abundant,
then
once
trade
begins
A)
wages
and
rents
should
rise
in
H.
B)
wages
and
rents
should
fall
in
H.
C)
wages
should
rise
and
rents
should
fall
in
H.
D)
wages
should
fall
and
rents
should
rise
in
H.
E)
rent
will
be
unchanged
but
wages
will
rise
in
H.
31)
Suppose
that
there
are
two
factors,
capital
and
land,
and
that
the
United
States
is
relatively
land
endowed
while
the
European
Union
is
relatively
capital-endowed.
According
to
the
Heckscher-Ohlin
model,
A)
European
capitalists
should
support
U.S.-European
free
trade.
B)
European
landowners
should
support
U.S.-European
free
trade.
C)
all
capitalists
in
both
countries
should
support
free
trade.
D)
all
landowners
should
support
free
trade.
E)
the
U.S.
should
compensate
European
countries
once
trade
commences.
32)
International
trade
has
strong
effects
on
income
distributions.
Therefore,
international
tradeA)
is
beneficial
to
everyone
in
both
trading
countries.
B)
will
tend
to
hurt
some
groups
in
each
trading
country.
C)
will
tend
to
hurt
one
trading
country.
D)
will
tend
to
hurt
everyone
in
both
countries.
E)
will
be
beneficial
to
all
those
engaged
in
international
trade.
33)
Factors
tend
to
be
specific
to
certain
uses
and
products
A)
in
countries
lacking
comparative
advantage.
B)
in
capital-intensive
industries.
C)
in
labor-intensive
industries.
D)
in
countries
lacking
fair
labor
laws.
E)
in
the
short
run.
34)
If
the
price
of
the
capital
intensive
product
rises
more
than
does
the
price
of
the
land
intensive
product,
then
A)
the
relative
price
of
the
capital
intensive
product
will
fall
to
some
point
between
the
pretrade
relative
prices.
B)
demand
will
shift
away
from
the
capital-intensive
product,
and
its
production
will
decrease.
C)
demand
will
shift
away
from
the
capital-intensive
product,
and
its
production
will
decrease
relative
to
that
of
the
land
intensive
product.
D)
the
production
of
the
capital-intensive
product
will
decrease,
but
by
less
than
production
of
the
land-intensive
product.
E)
the
country
that
exports
the
capital-intensive
good
will
lose
its
comparative
advantage.
35)
If
trade
opens
up
between
the
two
formerly
autarkic
countries,
Australia
and
Belgium,
then
A)
the
real
income
of
Australia
and
of
Belgium
will
increase.
B)
the
real
income
of
Australia
but
not
of
Belgium
will
increase.
C)
the
real
income
of
both
countries
may
increase.
D)
the
real
income
of
neither
country
will
increase.
E)
the
real
income
of
both
countries
will
increase.
36)
The
Leontieff
Paradox
A)
supported
the
validity
of
the
Ricardian
theory
of
comparative
advantage.
B)
supported
the
validity
of
the
Heckscher-Ohlin
model.
C)
failed
to
support
the
validity
of
the
Heckscher-Ohlin
model.
D)
failed
to
support
the
validity
of
the
Ricardian
theory.
E)
proved
that
the
U.S.
economy
is
different
from
all
others.
37)
The
Leontieff
Paradox
A)
refers
to
the
finding
that
U.S.
Exports
were
more
capital
intensive
than
its
exports.
B)
refers
to
the
finding
that
U.S.
exports
were
more
labor
intensive
than
its
imports.
C)
refers
to
the
finding
that
the
U.S.
produces
outside
its
Edgeworth
Box.
D)
still
accurately
applies
to
today’s
pattern
of
U.S.
international
trade.
E)
refers
to
the
fact
that
Leontieffan
American
economisthad
a
Russian
name.
38)
The
1987
study
by
Bowen,
Leamer
and
Sveikauskas
A)
supported
the
validity
of
the
Heckscher-Ohlin
model.
B)
used
a
two-country
and
two-product
framework.
C)
demonstrated
that
in
fact
countries
tend
to
use
different
technologies.
D)
proved
that
the
U.S.’s
comparative
advantage
relied
on
skilled
labor.
E)
supported
the
validity
of
the
Leontieff
Paradox.
39)
Empirical
observations
on
actual
North-South
trade
patterns
tend
to
A)
support
the
validity
of
the
Heckscher-Ohlin
model.
B)
support
the
validity
of
the
Leontieff
Paradox.
C)
support
the
validity
of
the
Rybczynski
Theorem.
D)
support
the
validity
of
the
wage
equalization
theorem.
E)
support
the
validity
of
the
neo-imperialism
exploitation
theory.
40)
The
Case
of
the
Missing
Trade
refers
to
A)
the
9th
volume
of
the
Hardy
Boys’
Mystery
series.
B)
the
fact
that
world
exports
does
not
equal
world
imports.
C)
the
fact
that
factor
trade
is
less
than
predicted
by
the
Heckscher-Ohlin
theory.
D)
the
fact
that
the
Heckscher
Ohlin
theory
predicts
much
less
volume
of
trade
than
actually
exists.
E)
the
fact
that
the
Heckscher
Ohlin
theory
never
applies
to
China-U.S.
trade
practices.
41)
Which
of
the
following
is
an
assertion
of
the
Heckscher-Ohlin
model?
A)
An
increase
in
a
country’s
labor
supply
will
increase
production
of
both
the
capit
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