21 Jul WHAT EFFECTS WILL THESE RESTRICTIONS HAVE ON THE REAL RETURNS TO LABOR AND CAPITAL ACROSS COUNTRIES?
May anybody help me with this question thanks! 1. a) Explain how direct investment in Mexico by MNC Show more May anybody help me with this question thanks! 1. a) Explain how direct investment in Mexico by MNCs located in the US can be explained by the Heckscher-Ohlin model of trade. b) Explain how the Heckscher-Ohlin model of trade can explain the movement of labor from Mexico to the United States. c) What effect will the movement of labor and capital have on real returns to these two factors across countries? d) Suppose movements of labor and capital are restricted but goods and services trade freely. What effects will these restrictions have on the real returns to labor and capital across countries? Show less
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