Mid-Term Exam
International Trade
EC 4800
Fall 2021
This is a take-home exam. You may consult your textbook, notes, and Powerpoint lectures.
However, all work should be your own. This exam is due on Monday, October 18th. You MUST
submit a hard copy of your exam; I will NOT accept an electronic copy submitted through email.
Please number the pages of your exam and include a cover page with the following information:
your name (as it appears in iCollege), course number (EC 4800), term (Fall Semester 2021), total
number of pages. Please STAPLE the pages of your exam together.
Answer the following three questions. (25 points each; 75 points total).
1. Leontief’s paradox is an example of testing a trade model, namely the Heckscher-Ohlin
model, using actual observations on imports and exports. If Leontief had observed that
the amount of labor needed per $1 million of U.S. exports was 100 person-years instead
of 182 in Figure 4.1 (page 101), would he have reached the same conclusion? Briefly
explain your answer.
To begin your answer, please take a clear position. For example, state “Yes, Leontief
would have reached the same conclusion if he dad observed that the amount of labor
