The Neoclassical Heckscher-Ohlin model

1. The Neoclassical Heckscher-Ohlin model assumes that all producers of any industrial product has knowledge of, and may avail itself of the same production technology available to producers in any other country. Many have flagged this identical technology assumption as unrealistic. During the past half century, the relative importance of Multinational Corporations (MNCs) in world trade has steadily increased.

How (be specific in dealing with the identical technology assumption) would this trend affect the realism of the “identical technology” assumption? [1 page, 30 points].

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2.Explain in a 1500 word essay the heterodox approach to global integration of production and consumption chains by referring to different economic structures of the periphery and the center.  Strictly rule No Plagiarism. No need references and cover page.

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