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Assume that the two factors of production in Gambinia are labor and capital. Gambinia produces two types of goods: food and clothing. Assume that clothing
Assume that the two factors of production in Gambinia are labor and capital. Gambinia produces two types of goods: food and clothing. Assume that clothing production is relatively capital intensive. If Gambinia has many workers but very little capital, then, following the HO model, we know that Gambinia has a comparative advantage in food. clothing. neither clothing nor food. both clothing and food Not enough information is given to answer the question.
Assume that the two factors of production in Gambinia are labor and capital. Gambinia produces two types of goods: food and clothing. Assume that clothing production is relatively capital intensive. If Gambinia has many workers but very little capital, then, following the HO model, we know that Gambinia has a comparative advantage in food. clothing. neither clothing nor food. both clothing and food. Not enough information is given to answer the question.
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