国际经济学作业答案第四章

国际经济学作业答案国际经济学作业答案-第四章国际经济学作业答案国际经济学作业答案-第四章PAGEPAGE48/17PAGEPAGE47/17Chapter4 ResourcesandTrade:TheHeckscher-OhlinModelMultipleChoiceQuestionsInthe2-factor,2goodHeckscher-Ohlinmodel,aninfluxofworkersfromacrosstheborderwouldmovethepointofproductionalongtheproductionpossibilitycurve.shifttheproductionpossibilitycurveoutward,andincreasetheproductionofbothgoods.shifttheproductionpossibilitycurveoutwardanddecreasetheproductionofthelabor-intensiveproduct.shifttheproductionpossibilitycurveoutwardanddecreasetheproductionofthecapital-intensiveproduct.Noneoftheabove.Answer:DInthe2-factor,2goodHeckscher-Ohlinmodel,itarycapabilities.size.relativeavailabilitiesoffactorsofproduction.laborproductivities.Answer:DInthe2-factor,2goodHeckscher-Ohlinmodel,achangefromautarky(notrade)totradewillbenefittheownersofcapital.therelativelyabundantfactorofproduction.therelativelyscarcefactorofproduction.therelativelyinelasticfactorofproduction.thefactorofproductionwiththelargestelasticityofsubstitution.Answer:BInthe2-factor,2goodHeckscher-Ohlinmodel,achangefromautarky(notrade)totradewilltendtomakethewagesinbothcountriesmoresimilar.willequalizethewagesinbothcountries.willtendtomakethewagesinbothcountrieslesssimilar.willtendtomakewagesequaltoreturnstocapital.willtendtomakerentsequaltointerestrates.Answer:ATheLeontieffParadoxsupportedthevalidityoftheRicardiantheoryofcomparativeadvantage.supportedthevalidityoftheHeckscher-Ohlinmodel.failedtosupportthevalidityoftheRicardiantheory.failedtosupportthevalidityoftheHeckscher-OvedthattheU.S.economyisdifferentfromallothers.Answer:DTheLeontieffParadoxreferstothefindingthatU.S.exportsweremorelaborintensivethanitsimports.referstothefindingthatU.S.Exportsweremorecapitalintensivethanitsexports.referstothefindingthattheU.S.producesoutsideitsEdgeworthBox.stillaccuratelyappliestotoday’spatternofU.S.internationaltrade.referstothefactthatLeontieff—anAmericaneconomist—hadaRussianname.Answer:AThe1987studybyBowen,LeamerandSveikauskassupportedthevalidityoftheLeontieffParadox.supportedthevalidityoftheHeckscher-OvedthattheU.S.’scomparativeadvantagereliedonskilledlabor.Answer:AEmpiricalobservationsonactualNorth-SouthtradepatternstendtosupportthevalidityoftheLeontieffParadox.supportthevalidityoftheHeckscher-Ohlinmodel.supportthevalidityoftheRybczynskiTheorem.supportthevalidityofthewageequalizationtheorem.supportthevalidityoftheneo-imperialismexploitationtheory.Answer:BTheCaseoftheMissingTradereferstothe9thvolumeoftheHardyBoys’Mysteryseries.thefactthatworldexportsdoesnotequalworldimports.thefactthatfactortradeislessthanpredictedbytheHeckscher-Ohlintheory.thefactthattheHeckscherOhlintheorypredictsmuchlessvolumeoftradethanactuallyexists.Noneoftheabove.Answer:CIftheUntedStateshadrelativelymorecapitalperworkerthanMexico,andiftheLeontieffParadoxappliedtothistrade,thenasuccessfulexpansionoftradeunderNAFTAbetweenMexicoandtheUnitedStateswouldtendtobenefitwhichgroupintheUnitedStates?EnvironmentalistsCapitalistsWorkersLandownersSkilledlaborwithrelativelyhighlevelsofhumancapitalAnswer:CAccordingtotheHeckscher-Ohlinmodel,thesourceofcomparativeadvantageisacountry’stechnology.advertising.humancapital.factorendowments.Both(a)andAnswer:DTheHechscher-Ohlinmodelstatesthatacountrywillhaveacomparativeadvantageinthegoodorservicewhoseproductionisrelativelyintensiveinthe withwhichthecountryisrelativelyabundant.tastestechnologyfactorofproductionopportunitycostscaleeconomyAnswer:COnewayinwhichtheHeckscher-OhlinmodeldiffersfromtheRicardomodelofcomparativeadvantageisbyassumingthat is(are)identicalinallcountries.factorofproductionendowmentsscaleeconomiesfactorofproductionintensitiestechnologyopportunityAnswer:DAccordingtotheHecksher-Ohlinmodel,everyoneautomaticallygainsfromtradethescarcefactornecessarilygainsfromtradethegainerscouldcompensatethelosersandstillretaingains.acountrygainsifitsexportshaveahighvalueadded.Noneoftheabove.Answer:CTheHeckscher-Ohlinmodelassumesthat areidenticalinalltradingcountriestastestechnologiesfactorendowmentsBoth(a)and(b).Noneoftheabove.Answer:BAsopposedtotheRicardianmodelofcomparativeadvantage,theassumptionofdiminishingreturnsintheHeckscher-Oparativeadvantageisprimarilysupplyrelated.Noneoftheabove.Answer:AStartingfromanautarky(no-trade)situationwithHeckscher-Ohlinmodel,ifCountryHisrelativelylaborabundant,thenoncetradebeginswagesandrentsshouldriseinHwagesandrentsshouldfallinHwagesshouldriseandrentsshouldfallinH.wagesshouldfallandrentsshouldriseinH.Noneoftheabove.Answer:CWhichofthefollowingisfalse(fortheHeckscher-Ohlinmodel)?Iftastesarenotidenticalinbothcountries,wagesmaystillequalize.Differencesintechnologiescouldbethesourceofgainsfromtrade.Somegroupsmaygainandsomemayloseduetotrade.Gainsforthetrade-relatedwinnerswilltendtobelargerthanlossesoflosers.Noneoftheabove.Answer:BIftastesdifferedbetweencountries,thiscouldaffectwageequalizationduetotradewithnospecialization.thedirectionoftrade(whoexportswhattowhom).thefactthatsomegroupsinacountrymightlosewelfareduetotrade.thefactthatthecountryasawholewillgainfromtrade.Noneoftheabove.Answer:BSupposethattherearetwofactors,capitalandland,andthattheUnitedStatesisrelativelylandendowedwhiletheEuropeanUnionisrelativelycapital-endowed.AccordingtotheHeckscher-Ohlinmodel,EuropeanlandownersshouldsupportU.S.-Europeanfreetrade.EuropeancapitalistsshouldsupportU.S.-Europeanfreetrade.allcapitalistsinbothcountriesshouldsupportfreetrade.alllandownersshouldsupportfreetrade.Noneoftheabove.Answer:BAccordingtotheHeckscher-Ohlinmodel,iftheUnitedStatesisrichlyendowedinhuman-capitalrelativetoMexico,thenasNAFTAincreasinglyleadstomorebilateralfreetradebetweenthetwocountries,theUnitedStateswillfinditsindustrialbasesuckedintoMexico.MexicowillfinditsrelativelyhighlyskilledworkersdrawntotheUnitedStates.ThewagesofhighlyskilledU.S.workerswillbedrawndowntoMexicanlevels.ThewagesofhighlyskilledMexicanworkerswillrisetothoseintheUnitedStates.ThewagesofhighlyskilledMexicanworkerswillfalltothoseintheUnitedStates.Answer:EAssumethatonlytwocountries,AandB,exist.Considerthefollowingdata:FactorEndowmentsLaborForceCapitalStock

CountriesA B45 2015 10IfgoodSiscapitalintensive,thenfollowingtheHeckscher-OhlinTheory,countryAwillexportgoodS.countryBwillexportgoodS.bothcountrieswillexportgoodS.tradewillnotoccurbetweenthesetwocountries.Insufficientinformationisgiven.Answer:BContinuingfromQuestion#22,ifyouaretoldthatCountryBisverymuchricherthanCountryA,thenthecorrectansweris:countryAwillexportgoodS.countryBwillexportgoodS.bothcountrieswillexportgoodS.tradewillnotoccurbetweenthesetwocountries.insufficientinformationisgiven.Answer:BContinuingfromQuestion#22,youaretoldthatCountryBisverymuchlargerthancountryA.Thecorrectansweris:countryAwillexportgoodS.countryBwillexportgoodS.bothcountrieswillexportgoodS.tradewillnotoccurbetweenthesetwocountries.insufficientinformationisgiven.Answer:BContinuingfromQuestion#22,youaretoldthatCountryBhasnominimumwageorchildlaborlaws.Nowthecorrectansweris:countryAwillexportgoodS.countryBwillexportgoodS.bothcountrieswillexportgoodS.tradewillnotoccurbetweenthesetwocountries.Insufficientinformationisgiven.Answer:BContinuingfromQuestion#22,younowaretoldthatthelaborunionsrepresentingtheworkersineachofthetworespectivecountriesareconsideringlobbyingagainsttheopeningofinternationaltradebetweenthesetwocountries.Notethatworkers’incomeisderivedsolelyfromwages.Thiswouldbeamisguideddecisionfromtheviewpointoftheworkersinbothcountries,sincetradeisalwaysbetterthanautarky.ThiswouldbeagooddecisionfromtheviewpointofworkersinCountryAsinceinternationaltradehelpsthecapitalistsandhurtstheworkers.ThiswouldbeagooddecisionfromtheviewpointofworkersinCountryBsinceinternationaltradehelpstheownersofcapitalandhurtstheworkers.Thiswouldbeagooddecisionforbothunionssincetradehurtsworkerswherevertheylive.Noneoftheabove.Answer:CWearenowtoldthattheinformationgivenusinQuestion#22wasnotexactlyaccurate,andthatinfactSisrelativelycapitalintensiveonlywhenrelativewagesarehigh,butbecomesrelativelylaborintensivewhenrelativewagesarelow.Giventhisinformation:countryAwillexportgoodS.countryBwillexportgoodS.bothcountrieswillexportgoodS.tradewillnotoccurbetweenthesetwocountries.Insufficientinformationisgiven.Answer:EThefollowingareallassumptionsthatmustbeacceptedinordertoapplytheHeckscher-OhlinTheory,exceptforone:ductionissubjecttoconstantreturnstoscale.oneproductalwaysrequiresmoremachinesperworkerinitsproductionthandoestheotherproduct.Answer:BIninternational-tradeequilibriumintheHeckscher-Ohlinmodel,thecapitalrichcountrywillchargelessforthecapitalintensivegoodthanthepricepaidbythecapitalpoorcountryforthecapital-intensivegood.thecapitalrichcountrywillchargethesamepriceforthecapitalintensivegoodasthatpaidforitbythecapitalpoorcountry.thecapitalrichcountrywillchargemoreforthecapitalintensivegoodthanthepricepaidbythecapitalpoorcountryforthecapital-intensivegood.theworkersinthecapitalrichcountrywillearnmorethanthoseinthepoorcountry.theworkersinthecapitalrichcountrywillearnlessthanthoseinthepoorcountry.Answer:BIftwocountrieswereverydifferentintheirrelativefactoravailabilities,thenwewouldnotexpectwhichofthefollowingtobeempiricallysupported?TheHeckscher-OhlinTheoremTheFactorPriceEqualizationTheorem.TheLawofOnePriceTheLawofDemandNoneoftheabove.Answer:BWhenCountryAproducesbothgoodsmoreefficientlythanCountryB,thencountryAshouldproducebothgoodsandnottrade.countryAshouldspecializeinitsgoodofleastabsolutedisadvantage.bothcountrieswouldbenefitfromautarky.bothcountriesmaynotbenefitfromtrade.Noneoftheabove.Answer:ETheminimuminformationrequiredtodetermineCountryA’scomparativeadvantageisthenumberofhoursoflaborintheeconomyofA.ratiooflaborinputsforproductsSandTinA.totalavailablelabor,laborrequiredperunitofS,andlaborrequiredperunitofTinA.totalavailablelaborandtheratiooflaborinputsforSandTinA.Noneoftheabove.Answer:ETheslopeofacountry’sPPFreflectstheopportunitycostofproductSintermsofproductT.theopportunitycostofTintermsofmoneyprices.theopportunitycostofSorTintermsofS.Both(a)and(b).Both(a)andAnswer:ATheHeckscher-Ohlinmodelpredictsallofthefollowingexcept:whichcountrywillexportwhichproduct.whichfactorofproductionwithineachcountrywillgainfromtrade.thevolumeoftrade.thatwageswilltendtobecomeequalinbothtradingcountries.Noneoftheabove.Answer:CTheHeckscher-OhlinmodeldiffersfromtheRicardianmodelofComparativeAdvantageinthattheformerhasonlytwocountries.hasonlytwoproducts.hastwofactorsofproduction.hastwoproductionpossibilityfrontiers(oneforeachcountry).Noneoftheabove.Answer:CInternationaltradehasstrongeffectsonincomedistributions.Therefore,internationaltradeisbeneficialtoeveryoneinbothtradingcountries.willtendtohurtonetradingcountry.willtendtohurtsomegroupsineachtradingcountry.willtendtohurteveryoneinbothcountries.willbebeneficialtoallthoseengagedininternationaltrade.Answer:CFheshortrun.incapital-intensiveindustries.inlabor-intensiveindustries.incountrieslackingfairlaborlaws.Answer:BIfthepriceofthecapitalintensiveproductrisesmorethandoesthepriceofthelandintensiveproduct,thendemandwillshiftawayfromthecapital-intensiveproduct,anditsproductionwilldecrease.demandwillshiftawayfromthecapital-intensiveproduct,anditsproductionwilldecreaserelativetothatofthelandintensiveproduct.theproductionofthecapital-intensiveproductwillindeeddecrease,butnotforthereasonsmentionedin(a)or(b).thecountriesexportingthecapital-intensivegoodwillloseitscomparativeadvantage.Noneoftheabove.Answer:EIfAustraliahasrelativelymorelandperworker,andBelgiumhasrelativelymorecapitalperworker,theniftradeweretoopenupbetweenthesetwocountries,therelativepriceofthecapital-intensiveproductwouldriseinAustralia.theworldpriceoftheland-intensiveproductwouldbehigherthanithadbeeninBelgium.theworldpriceofthelandintensiveproductwouldbehigherthanithadbeeninAustralia.therelativepriceofthelandintensiveproductwouldriseinBelgium.Noneoftheabove.Answer:CIfAustraliahasmorelandperworker,andBelgiumhasmorecapitalperworker,theniftradeweretoopenupbetweenthesetwocountries,therealincomeofcapitalownersinAustraliawouldrise.therealincomeoflaborinAustraliawouldclearlyrise.therealincomeoflaborinBelgiumwouldclearlyrise.therealincomeoflandownersinBelgiumwouldfall.therealincomesofcapitalownersinbothcountrieswouldrise.Answer:DIftradeopensupbetweenthetwoformerlyautarkiccountries,AustraliaandBelgium,thentherealincomeofAustraliaandofBelgiumwillincrease.therealincomeofAustraliabutnotofBelgiumwillincrease.therealincomeofneithercountrywillincrease.therealincomeofbothcountriesmayincrease.therealincomeofbothcountrieswillincrease.Answer:DIfthepriceoffood(alandintensiveproduct)rises,thentheincomeofcapitalownerswillfallbecausecapitalownersconsumeonlyfood.therealwageintermsofmanufacturesrises.theymustpayhigherwagestomaintainsubsistencelevels.foodisanelementoforganiccapitalforcapitalists.Noneoftheabove.Answer:BIfJapanisrelativelycapitalrichandtheUnitedStatesisrelativelylandrich,andiffoodisrelativelylandintensethentradebetweenthesetwo,formerlyautarkiccountrieswillleadtoperfectspecializationwithJapanaloneproducingmanufactures.createaworldrelativepriceoffoodthatislowerthanthatoftheU.S.lowerthepriceoffoodinbothcountries.raisethepriceoffoodinbothcountries.Noneoftheabove.Answer:EThereasontradeclearlybenefitsacountryisthatitraisestherealincomeofthemoreproductiveelementsinsociety.itlowerstherealincomeofthelessproductiveelementsinsociety.itincreasesthelevelsofconsumptionofeveryone.itincreasessociety’sconsumptionchoices.Noneoftheabove.Answer:DAscomparedtopotentialgainers,thosewhostandtolosefromtradearelikelytomigratetoanothercountry.tendtobemoreeffectivelyorganizedpolitically.tendtorejectcompensationassmackingofsocialism.areuniversallyopposedbyeconomistswhoconsiderthemparasites.Noneoftheabove.Answer:BTpensatelosersatleastpartiallythroughsuchlegislationasunemploymentcompensation,orretraininggrants.Noneoftheabove.Answer:DGroupsthatlosefromtradetendtolobbythegovernmenttoshiftthedirectionofcomparativeadvantage.abolishtheSpecificFvideprotectionfortherelativelyinefficientsectors.Noneoftheabove.Answer:DItwasfoundthatwhentheUnitedStatesimposedsteelquotas,thiscausedharmnotonlytosteelconsumers,butalsotomanyproducersforwhomsteelisanimportantinput.Thisinsightsuggeststhatgeneralequilibriummodelsoftariffswilldemonstratethatthepartialequilibriumdeadweightlosstrianglestendtooverstatethetariffharm.suggeststhatthedeadweightlosstrianglesfrompartialequilibriummodelstendtounderstatetheharmtosocietyofprotectionism.suggeststhatitisquitesensiblethatproducerstendtosupportquotas.suggeststhatsteelproductionisaninfantindustryintheU.S.Noneoftheabove.Answer:BItwasfoundthatwhentheUnitedStatesplacedquotasonimportedJapanesesemiconductors,thisharmedtheinternationalcompetitivenessofU.S.computermanufacturers.Ttectionismharmsthefactorthatisspecifictotheexportsector.effectiveprotectionisnotthesameasanominaltariffortariffequivalent.Noneoftheabove.Answer:DRicardo’smodelofcomparativeadvantagedemonstratednoharmtoanyintheeconomyasaresultoffreetrade.ThiswasprobablybecauseRicardodidnotunderstandtheconceptofdiminishingreturns.thespecificfactormodelhadnotyetbeeninvented.HeckscherandOhlinhadnotyetbeenborn.amodel,whichdemonstratedsuchharm,wouldhavebeencounter-productivetoRicardo’spoliticalorpolemicalaims.Noneoftheabove.Answer:DWhentheNapoleonicWarswereover,theCornLawswereenactedinEngland.Thismaybeunderstoodintermsofthefollowing:TheHecksher-Ohlinmodel.Theintra-trademodel.ThemonopolisticcompetitionmodelThescaleeconomiesmodelNoneoftheabove.Answer:AIfGambiniahasmanyworkersbutverylittlelandandevenlessproductivecapital,then,followingthespecificfactormodel,weknowthatGambiniahasacomparativeadvantageinmanufactures.food.bothmanufacturesandfood.neithermanufacturesnorfood.Notenoughinformationgiven.Answer:EIf,relativetoitstradepartners,Gambiniahasmanyworkersbutverylittlelandandevenlessproductivecapital,then,followingthespecificfactormodel,inordertohelpthecountry’seconomicwelfare,theGtectbothsectors.notresorttoprotectionismNoneoftheabove.Answer:DEssayQuestions“Agoodcannotbebothland-andlabor-intensive.”Discuss.Answer:Inatwogood,twofactormodel,suchastheoriginalHeckscher-Ohlinframework,thefactorintensitiesarerelativeintensities.Hence,therelevantstatisticiseitherworkersperacre(oracresperworker);orwageperrentalunit(orrentalperwage).Inordertoillustratethelogicofthestatementabove,letusassumethattheproductionofabroomrequires4workersand1acre.Also,letusassumethattheproductionofonebushelofwheatrequires40workersand80acres.Inthiscasetheacresperpersonrequiredtoproduceabroomisonequarter,whereastoproduceabushelofwheatrequires2acresperperson.Thewheatistherefore(relatively)landintensive,andthebroomis(relatively)laborintensive.“Nocountryisabundantineverything.”Discuss.Answer:theconceptofrelative(country)factorabundanceis(likefactorintensities)arelativeconcept.Whenweidentifyacountryasbeingcapitalintensive,wemeanthatithasmorecapitalperworkerthandoestheothercountry.Ifonecountryhasmorecapitalworkerthananother,itisanarithmeticimpossibilitythatitalsohasmoreworkersperunitcapital.Thereisfrequentlyaconflictbetweenshort-termandlong-terminterestsintrade.Discuss.Answer:Intrademodels,theshorttermistypicallydefinedasthat(conceptual)periodoftimeinwhichboththetechnologyandtheamountoffactorsofproductionaregivenandcannotbechanged.Whenwestatethatfreetradecanbeshowntobeanoptimalpolicyundercertaincircumstances,wemeanthatintheshortrun,thispolicycanbringacountrytoanoptimumlevelofconsumption.However,thereisnoinconsistencyinthepropositionthattheoptimumshortrunsolutionmaynotbethesolution,whichmaximizesthelikelihoodofeconomicexpansionorgrowth(thelongrun).Forexample,apolicywhichmaximizesconsumptionmaynottakeintoaccountinter-temporalpreferences,andhencemay“short-change”futuregenerations(orthosewhocareforfuturegenerations).Internationaltradeleadstocompleteequalizationoffactorprices.Discuss.Answer:Thisstatementistypically“true...but.”Underastrictandlimitedsetofassumptions,suchastheoriginalHeckscher-Ohlinmodelwhichexcludescountryspecifictechnologies;non-homothetictastes;factorintensityreversals;largecountrydifferencesin(relative)factorabundances,morefactorsthangoods,andanequilibriumsolutionwithinthe“coneofspecialization”;thenitmaybedemonstratedthatinternalconsistencydemandsthattheabovestatedsentenceis“true.”However,theminuteonerelaxesanyoftheabovelistedassumptionsonemayeasilyidentifysolutions,whichcontradictthefactorpriceequalizationtheorem.Countriesthatarewillingtotolerateanunusuallyhighquantityofpollutionrelativetotheirsuppliesofotherfactorswouldtendtoexport“pollution-intensive”goods.DiscussusingtheHechscher-Ohlin(H.O.)model.Answer:Thisstatementisbadlycrafted.Itseemstoimplythatpollutionpersayisaproperfactorofproduction.Thatis,justasifyouaddaworker,yougetadditionalproduct,sothemarginalproductofpollutionispositive.Theproblemhereisthatpollutionisnotreallyafactorofproduction,butratheranexternality,whichmaybemoretypicalofimportedgoodsthanexportedones.Insuchacase,thestatementaboveisfalse.CountriesdonotinfactexportthegoodstheH.O.theorypredicts.Discuss.Answer:Thisstatementisnottrue.Althoughonemayfindmanycaseswhereitseemstobetrue(e.g.theLeontieffParadox),alloneneedstodoinordertorendertheabovestatementnot(generally)trueistofindonecounterexample.Infact,onecanfindlargesubsetsofagriculturalandcommodityproductsinwhichtheH.Opredictionsaregenerallyfulfilled.Labor-intensivecountriessuchasBangladeshdoinfactexportrelativelylabor-intensivegoods.Capital-intensivecountriessuchasGermanydoinfactexportcapital-intensiveproducts(atleasttoSouthcountries).CountriessuchasCostaRica(“sunshineabundant”)tendtoexportbananas(sunshine-intensiveproducts).TheU.S.(awheat-land-abundantcountry)doesindeedexportwheat(awheat-landintensiveproduct).Infact,sincetheearly1980s,theLeontieffParadoxwasnotfoundtodescribetheU.S.tradedata(henceratifyingtheH.O.theory).WhyistheH.O.modelcalledthefactor-proportionstheory?Answer:TheH.O.modelexploresthenatureandthelimitationsofassumingthatthesole