The ratio of exports to GDP for the United States in 2014 is approximately equal to

Suppose that the country of Pacifica sold its cars in Atlantica for less than it costs to produce the cars. Pacifica could be accused of

A) avoiding import quotas. B) increasing its gains from trade. C) dumping. D) engaging in learning-by-doing.

Which of the following is NOT a proposition of the Heckscher-Ohlin model?

A) A country has a comparative advantage in the production of that commodity which uses more intensively the country's more abundant resource. B) The effect of international trade is to tend to equalize factor prices between the trading nations. C) If the United States is a skilled labor abundant country, then the United States has a comparative advantage in the production of goods that use skilled labor more intensively. D) Countries will completely specialize in the product in which they have a comparative advantage if free trade is allowed to occur.