Author Question: It is argued that if a rich high wage country such as the United States were to expand trade with a ... (Read 70 times)

piesebel

  • Hero Member
  • *****
  • Posts: 565
It is argued that if a rich high wage country such as the United States were to expand trade with a relatively poor and low wage country such as Mexico, then U.S. industry would migrate south, and U.S. wages would fall to the level of Mexico's.
 
  What do you think about this argument?

Question 2

Developing countries that concentrate production in agricultural products or raw materials may face a secular decline in their international terms of trade due to
 
  A) sluggish demand for these products in developed countries.
  B) large increases in the supplies of these products on world markets due to export expansion policies.
  C) inelastic demand for these products in developed countries.
  D) All of the above.



Perkypinki

  • Sr. Member
  • ****
  • Posts: 339
Answer to Question 1

The student may think anything. The purpose of the question is to set up a discussion, which will lead to the models in the following chapters.

Answer to Question 2

D



Related Topics

Need homework help now?

Ask unlimited questions for free

Ask a Question
 

Did you know?

Asthma is the most common chronic childhood disease in the world. Most children who develop asthma have symptoms before they are 5 years old.

Did you know?

Many of the drugs used by neuroscientists are derived from toxic plants and venomous animals (such as snakes, spiders, snails, and puffer fish).

Did you know?

The people with the highest levels of LDL are Mexican American males and non-Hispanic black females.

Did you know?

People who have myopia, or nearsightedness, are not able to see objects at a distance but only up close. It occurs when the cornea is either curved too steeply, the eye is too long, or both. This condition is progressive and worsens with time. More than 100 million people in the United States are nearsighted, but only 20% of those are born with the condition. Diet, eye exercise, drug therapy, and corrective lenses can all help manage nearsightedness.

Did you know?

About 60% of newborn infants in the United States are jaundiced; that is, they look yellow. Kernicterus is a form of brain damage caused by excessive jaundice. When babies begin to be affected by excessive jaundice and begin to have brain damage, they become excessively lethargic.

For a complete list of videos, visit our video library