Purchase Solution

International Trade Relations: How does the Heckscher-Ohlin theory differ from Ricardian thoery?

Not what you're looking for?

Ask Custom Question

As an international economist you have been asked to prepare a short speech which answers the following questions:

How does the Heckscher-Ohlin theory differ from Ricardian theory in explaining international trade patterns?
The Heckscher-Ohlin theory demonstrates how trade affects the distribution of income within trading partners. Explain.
How does the Leontief paradox challenge the overall applicability of the factor-endowment model?
According to Staffan Linder, there are two explanations of international trade patterns-one for manufacturers and another for primary (agricultural) goods. Explain.

Following that speech, the audience asks you to respond to the following question:

Describe a specific tariff, an ad valorem tariff, and a compound tariff. What are the advantages and disadvantages of each?

Write the text of your speech and your response to the question as a Word document, including APA citations for all sources you use.

Purchase this Solution

Solution Summary

This essay-style solution is 2000 words with six APA references. The problem discusses how the Heckscher-Ohlin theory differs from Ricardian theory in explaining international trade patterns. It also covers the Leontief paradox in relation to the trade theories. Finally, the problem goes over various tariffs: a specific tariff, an ad valorem tariff, and a compound tariff, and what the advantages and disadvantages of each are.

Purchase this Solution


Free BrainMass Quizzes
Basics of Economics

Quiz will help you to review some basics of microeconomics and macroeconomics which are often not understood.

Economics, Basic Concepts, Demand-Supply-Equilibrium

The quiz tests the basic concepts of demand, supply, and equilibrium in a free market.

Economic Issues and Concepts

This quiz provides a review of the basic microeconomic concepts. Students can test their understanding of major economic issues.

Elementary Microeconomics

This quiz reviews the basic concept of supply and demand analysis.

Pricing Strategies

Discussion about various pricing techniques of profit-seeking firms.