Economics

A country doesn't need to be good at something to profit from trading it

Eli Heckscher and Bertil Ohlin argued that trade patterns depend less on which country works harder or smarter and more on what each country happens to have a lot of: land, labor, or capital. A country abundant in cheap labor will export labor-intensive goods, a country rich in capital will export capital-intensive ones — regardless of which one is actually more efficient at making them.

Eli Heckscher & Bertil Ohlin, Heckscher–Ohlin model — Stockholm School of Economics, 1919-1933

One credited idea per card. No filler. Swipe the rest in Savvy.

Keep swiping — it's free Works right in your browser. No app store needed.