A theorem that asserts international trade will equalize the prices of production factors across countries.
A foundational framework in the theory of inter-industry trade, named after its creators, which postulates that differences in relative factor endowments drive international trade patterns.
Observation by Wassily Leontief that the US, despite being capital-rich, had exports that were more labor-intensive than its imports, contrary to the Heckscher-Ohlin model's predictions.
