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.

---

Definitions:

Hypothalamus

A small but crucial part of the brain located below the thalamus, responsible for hormone production and regulation of key bodily functions such as temperature, hunger, and the sleep-wake cycle.

Muscles

Tissues in the body that have the ability to contract, enabling movement and force.

Transduction

The conversion of one form of energy into another form, especially in sensory perception.

Sensory Quality

Characteristics of an object or experience that are perceived through the senses, such as taste, sound, smell, texture, or visual appearance.