The Stolper-Samuelson Theorem Indicates That Given Certain Assumptions and Conditions

question 43

Multiple Choice

The Stolper-Samuelson theorem indicates that given certain assumptions and conditions:

• A)the real return to the factor used intensively in the import-competing industry will rise in the long-run.
• B)the real return to the factor used intensively in the export industry will fall in the long-run.
• C)the real return to all the resources in an economy will increase.
• D)the real return to the factor used intensively in the export industry will rise in the long-run.

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The capability to influence the outcome of a decision by choosing among various available actions.

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