Question
Suppose country A has K A= 120 units of capital and L A= 100 units of labor available.Suppose also that country B has K B=
Suppose country A hasKA= 120 units of capital andLA= 100 units of labor available.Suppose also that country B hasKB= 200 units of capital andLB= 160 units of labor available.The two countries produce goods X and Y. We can say that?
A. country B is relatively labor abundant.
B. country A is relatively labor abundant.
C. good Y is relatively labor intensive.
D. country A is relatively capital abundant.
E. good X is relatively labor intensive.
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Microeconomics
Authors: Austan Goolsbee, Steven Levitt, Chad Syverson
2nd edition
1464187029, 978-1464189104, 1464189102, 978-0716759751, 716759756, 978-1464187025
