Question

According to the heckscher-ohlin theorem, trade arises are due to

Answer 1

Differences in relative factor endowments and intensities.

Step-by-step explanation:

The Heckscher-Ohlin model is an economic theory that proposes that countries export what they can most efficiently and plentifully produce. It takes the position that countries should ideally export materials and resources they have excessively while proportionately importing those resources they need.

Answer 2

According to the heckscher-ohlin theorem, trade arises are due to Differences in relative factor endowments and intensities.
Differences in relative factor endowments and intensities will create a different in prices between one nation and another. This difference will create a leverage for each nation to trade with one another in order to use their resource more efficiently.