In Horizontal Analysis, If an Item Has a Negative Amount

question 34

True/False

In horizontal analysis, if an item has a negative amount in the base year, and a positive amount in the following year, the percentage change will exceed 100%.

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Definitions:

International Trade

The movement of goods and services across national boundaries or territories for trade purposes.

Heckscher-Ohlin Model

An economic theory that proposes that countries will export goods that make intensive use of the factors of production that they have in abundance.

Unskilled Labor

Workforce that has no special training or education and typically involves manual labor with simpler tasks.

Skilled Labor

Workers who have specialized training or skills, often acquired through education or extensive job experience.