Teaching UGC NET Mock Test Series 2025 (Paper 1 & 2) Business Studies Finance and Trade International Trade
According to the Specific Factors Model, which of the following occurs when there is an increase in the price of a good?
A) The wage rate and rental rate of all sectors rise.
B) The specific factor in the industry producing the good experiences an increase in its reward.
C) The increased price does not affect the income distribution within the economy.
D) All sectors experience the same rise in production due to the increase in the price of that good.
1
A and B
2
A,B and C
3
A, B, C and D
4
B only