If more and better technology is used for producing wheat in the United States than in a lesser-developed country, then the:

Question

Quizplus · Accepted Answer

The use of more and better technology to produce wheat in the United States will increase the productivity of U.S. workers, resulting in a higher MRP (Marginal Revenue Product) for them compared to the workers in the lesser-developed country whose productivity is lower. Therefore, the demand for U.S. workers will be higher, and the price of wheat may or may not be higher in the United States compared to the lesser-developed country, as it will depend on other factors such as transportation costs and tariffs.

If More and Better Technology Is Used for Producing Wheat