Question 1 20 pt (a) What was the Mercantilism's view on the wealth of a nation and how did it shape their view on exports and imports? Did they support free trade? (b) What was Adam Smith's explanation of the basis for free trade? Does this view support government interference with exports and imports? (c) How did David Ricardo, the proponent of the law of comparative advantage, measure comparative advantage between two countries? (d) State the Heckscher - Ohlin (H - O) theory of trade between two countries. (e) According to the H - O theory, what is the basic determinant of comparative advantage between two trading countries? Edit Format Table 12pt Paragraph * B I U A & Try |0 WP