Many of the common items that you use everyday are manufactured in Asia. If the H-O model applies, what would account for this?

Group of answer choices:

O Asian countries are abundant in low-skilled labor, and so items can be manufactured at lower opportunity cost.

O Asian countries do not enjoy a comparative advantage in any economic activity, so they end up being exploited by wealthy countries.

O The US has used its military power to oppress the Asians and force them to work for low wages.

O Global corporations have located their manufacturing operations in Asia in their attempt to impoverish the people of Asia.

Question

Business

Azaria Hayes

3 October, 21:09

Many of the common items that you use everyday are manufactured in Asia. If the H-O model applies, what would account for this?

Group of answer choices:

O Asian countries are abundant in low-skilled labor, and so items can be manufactured at lower opportunity cost.

O Asian countries do not enjoy a comparative advantage in any economic activity, so they end up being exploited by wealthy countries.

O The US has used its military power to oppress the Asians and force them to work for low wages.

O Global corporations have located their manufacturing operations in Asia in their attempt to impoverish the people of Asia.

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Answers (1)

Know the Answer?

Xavier Benitez · Answer 1

O Asian countries are abundant in low-skilled labor, and so items can be manufactured at lower opportunity cost

Explanation:

The H-O model states that countries such produce goods and services that it can efficiently and effectively manufacture or produce at a lower cost of production.

Asian countries are abundant in low-skilled labor, and so items can be manufactured at lower opportunity cost.