Question

Factor proportions theory differs from the theory of comparative advantage in that the focus of factor proportions theory is on the ________. minimization of trade surpluses, whereas the comparative advantage theory focuses on the mercantilist idea that international trade is a zero-sum game accumulation of financial wealth in the form of gold by encouraging imports and discouraging exports, while the comparative advantage theory focuses on usage of the most abundant factors of production usage of the most abundant factors of production, while the focus of the comparative advantage theory is on the productivity of the production process productivity of the production process, while the comparative advantage theory focuses on maximization of production and consumption

Answer 1

Answer:

The correct answer is letter "C": usage of the most abundant factors of production, while the focus of the comparative advantage theory is on the productivity of the production process.

Explanation:

The Factor Productions theory, also known as the Heckscher-Ohlin theory, is a  concept that tries to explain how international trade works. It is based on the focus that production increases capital and labor to an equal importance level. While, the Comparative Advantage theory is defined as the ability of an individual, company, or country to produce a good or service at a lower opportunity cost than its competitor.