Question 26 of 29
Q.Which of the following is a Modern theory of International Trade ?
(a) Comparative cost
(b) Absolute cost
(c) Factor Endowment theory
(d) None of these
Puducherry TnboardTamil Nadu HSC (DGE) Commerce Board 2025MCQ· 1mImportance★★★★★
90% · 26/29 Questions
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Start your 14-day free trial to unlock the full solution →The Factor Endowment (Heckscher-Ohlin) theory is the modern theory of international trade — option (c).
In the Tamil Nadu HSC Class-12 Economics (International Economics) syllabus, theories of international trade fall into two groups:
- Classical theories — Absolute Cost Advantage (Adam Smith) and Comparative Cost Advantage (David Ricardo). …
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