Use the figure below to answer the following question. The trade triangle shows the exports that were exchanged for imports.  What are the three points of the “trade triangle”?

Foreign direct investment that takes the form of a newly built startup facility is called:

The Heckscher-Ohlin model of international trade uses ________ and ________ to explain trade patterns.

Suppose that the home country in the two-sector (manufacturing and agriculture) specific-factors model has a comparative advantage in manufactured output.  Which statement below best describes changes in returns on capital and land after trade occurs?

In a two-sector (manufacturing and agriculture) specific-factors model:

The Prebisch–Singer hypothesis concludes that:

As a nation opens for trade, the relative prices of products it imports will ________ and the relative prices of products it exports will ________.

Which of the following is NOT a reason for horizontal FDI?

In the United States, one worker can produce 10 tons of steel per day or 20 tons of chemicals per day.  In the United Kingdom, one worker can produce 5 tons of steel per day or 15 tons of chemicals per day. The United Kingdom has a comparative advantage in the production of:

The graph below shows Upperia’s international trading pattern.  Point P is production with trade, and point C is consumption with trade.  What is the international price of shoes (i.e., shirts/pair of shoes)?