_____ 1954 study of U.S trade patterns showed that U.S exports were labor-intensive compared with U.S imports, even though the United States was widely regarded as a relatively capital-abundant nation ?
Correct answer: D. Wassily Leontief's
- A. Paul Samuelson's
- B. Wolfgang Stolpher's
- C. Staffan Linder's
- D. Wassily Leontief's
Explanation
Wassily Leontief's 1954 test produced the Leontief paradox, finding that U.S. exports were relatively labour-intensive despite the United States being capital abundant. This challenged the straightforward prediction of the Heckscher-Ohlin model.
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