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 Mexico is an unskilled labor abundant country, then Mexico has a comparative advantage in the production of goods that use unskilled labor more intensively.
D) 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.
E) Countries will completely specialize in the product in which they have a comparative advantage if free trade is allowed to occur.
E
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At every point on the IS curve, the level of income on the horizontal axis equals
A) planned autonomous spending. B) planned autonomous spending times the multiplier. C) planned autonomous spending divided by the multiplier. D) planned expenditures times the multiplier.
A program budget ______
a. increases the budget of an agency by the annual inflation rate b. groups expenditures by the goals they are trying to achieve c. groups expenditures by the types of items that are purchased d. groups expenditures by agency