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Companies from the nation of Moldavia are more efficient in the production of certain types of apparel, while companies from the United States are more efficient in the production of certain types of computers. Which economic theory predicts that capital would move to Moldavia to be invested there in the apparel industry and to the United States to be invested in its computer companies?

Respuesta :

osondumartins

Options:

a. Investor collectivism theory

b. Rapid specialization theory

c. Investor individualism doctrine

d. Free trade doctrine

Answer: C. Investor individualism doctrine

Explanation:

Investor individualism doctrine is a doctrine that tends to show that an investors will invest or put Capital in a country that produces the product of which they are best in. In this case capital will be investigated in Moldavia since it is efficient in apparel manufacturing and to the United States of America because it is efficient in the production of computer systems.

INVESTOR WILL GENERALLY INVEST CAPITAL ON THE ECONOMIC COMPETENCE (WHAT A COUNTRY IS EFFICIENT IN PRODUCING) OF A COUNTRY.

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