Which of the following are TRUE regarding the argument that trade barriers protect U.S. workers from cheap foreign labor? I. Low-wage foreigners are just as productive as U.S. workers. II. U.S. workers have a comparative advantage in low-wage jobs.
A) I only
B) II only
C) I and II
D) Neither I nor II is correct.
Question 2
When a market is in equilibrium, the total amount of consumer surplus must be ________ the total amount of producer surplus.
A) larger than
B) equal to
C) less than
D) None of the above answers are correct.
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