1.Chinese exports of toys and footwear can be explained by factor endowments, while Chinese exports of telecommunications equipment and computers and accessories can be explained by product-cycle analysis.

Select one:

True/False

2.Which of the following is NOT a situation providing a potential advantage for Mexico that makes it competitive compared to China in trade with the United States?

Select one:

a.The product is heavy and bulky relative to its final value.

b.The need to manage a just-in-time inventory system

c.Wages are low and the production process is labor intensive.

d.The product line requires quick turn-around time from or to delivery.