Why Is the PPF Bowed Out in the Heckscher­Ohlin Model

question 94

Multiple Choice

Why is the PPF bowed out in the Heckscher­Ohlin model?

• A)Capital is specific to the production of one good.
• B)Labor is specific to the production of the other good.
• C)There are increasing opportunity costs of producing each good.
• D)Labor is not perfectly mobile between the production of the two goods.

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Definitions:

Suprachiasmatic Nucleus

A small region in the brain's hypothalamus responsible for controlling circadian rhythms, acting as the body's internal clock.

Suprachiasmatic Nucleus (SCN)

A pair of tiny structures in the brain’s hypothalamus that control the timing of circadian rhythms; the biological clock.

Circadian Rhythms

Natural, internal processes that regulate the sleep-wake cycle, repeating roughly every 24 hours.

Suprachiasmatic Nucleus

A small region of the brain in the hypothalamus, responsible for controlling circadian rhythms.