In the specific factors model, a country's production possibility frontier is __ because of _

Social Studies

1 answer:

VMariaS [17]3 years ago

8 0

Answer:

a curved line; diminishing marginal returns

Explanation:

Specific Factors Model is simply a model answers the question below: How trade affect the earnings of labor, land and capital, We turn our focus to the Home and Foreign countries with slightly different assumptions. Its assumptions includes

A. countries: Home and Foreign

B. 2 goods: Manufactured goods and Agricultural goods

C. 3 factors: Labor, Land and capital. Manufacturing sector uses labor and capital only, while the agricultural sector uses land and labor only. (specific factors). And others.

The model givves new perspectives on the sharing of the profits from trade within a country.

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In the specific factors model, a country's production possibility frontier is ________ because of _______

In the specific factors model, a country's production possibility frontier is __ because of _