The focus of factor proportions theory is on the ________.
A) productivity of the production process
B) cost-effectiveness of the production process
C) use of depleting production factors
D) use of expensive production factors

Question

Quizplus · Accepted Answer

Factor proportions theory focuses on the productivity of the production process based on the combination of different factors of production, such as labor and capital. It analyzes how these factors are used to produce goods and services efficiently and effectively, leading to improved productivity and competitiveness. Cost-effectiveness, the use of depleting or expensive production factors, are not the main focus of this theory.

The Focus of Factor Proportions Theory Is on the ________