In the 2-Factor, 2-Good Heckscher-Ohlin Model, the Production Possibility Frontier

question 65

Multiple Choice

In the 2-factor, 2-good Heckscher-Ohlin model, the production possibility frontier is kinked when

• A) there is no factor substitution in production.
• B) the opportunity cost of production is constant.
• C) there are unemployed factor resources.
• D) a country does not engage in trade.
• E) transportation costs are very high.

---

Definitions:

Customer Mapping Process

A strategic approach to understanding the journey of the customer with a business, from initial awareness to post-purchase interactions, aiming to improve customer experience.

Color-Blindness

The concept of ignoring racial differences and treating all individuals equally, without acknowledging existing racial disparities and inequalities.

Meritocracy

A system in which advancement within the social hierarchy is based on individual talent, effort, and achievement rather than on class privilege or wealth.

Policy Implications

The potential effects or outcomes that specific policies may have on a society, economy, or environment.