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redferret412Lv1
28 Sep 2019
3. Consider a country A that is closed to international trade. Suppose that when this country opens its borders for trade and allows market forces to work freely, it begins to import textiles, a labor-intensive good.
a. What does this imply about country A's factor endowments and why?
b. What is likely to be the effect of trade on wages? Explain why?
c. Which group of citizens in country A would you expect to support free trade and why? Why would oppose free trade and why?
3. Consider a country A that is closed to international trade. Suppose that when this country opens its borders for trade and allows market forces to work freely, it begins to import textiles, a labor-intensive good.
a. What does this imply about country A's factor endowments and why?
b. What is likely to be the effect of trade on wages? Explain why?
c. Which group of citizens in country A would you expect to support free trade and why? Why would oppose free trade and why?
1
answer
0
watching
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Romarie Khazandra MarijuanLv10
28 Sep 2019