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When a Rich Country That Has Absolute Advantages in All

Question 152

Multiple Choice

When a rich country that has absolute advantages in all products begins trading with a poor country:


A) the wage in the rich country will go down and the wage in the poor country will go up.
B) the wages in both countries will go up.
C) the wages in both countries will go down.
D) the wage in the rich country will go up and the wage in the poor country will go down.

Correct Answer:

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