In poorer countries, free trade ________ the demand for labor in these countries and ________ the wages paid in these countries.

Question

Quizplus · Accepted Answer

Free trade often increases the demand for labor in poorer countries as these countries can export goods in which they have a comparative advantage. This increased demand for labor typically raises wages in these countries, as employers compete for workers.

In Poorer Countries, Free Trade ________ the Demand for Labor