Which Theory Suggests That Countries with Large, Low-Cost Endowments of a Factor

question 51

Multiple Choice

Which theory suggests that countries with large, low-cost endowments of a factor of production will attract firms needing that factor of production?

• A) national competitive advantage theory
• B) Heckscher-Ohlin theory
• C) country similarity theory
• D) absolute advantage theory

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Definitions:

Well Sorted

A condition of sedimentary particles that display a narrow range of sizes due to the action of transport and deposition processes.

Cross-bedding

A geological feature that forms as inclined layers of sediment are deposited across a horizontal surface, indicating ancient water or wind flows.

Siltstone

A sedimentary rock composed of consolidated silt-sized particles, generally mostly quartz.

Shale

A fine-grained sedimentary rock formed from clay and silt particles that tend to split along bedding planes.