Trade _____ the price of the abundant factor of production, and _____ the scarce factor of production.
A) increases, increases
B) increases, decreases
C) decreases, decreases
D) decreases, increases
E) has no effect on either
Correct Answer:
Verified
Q1: A country will have a _ in
Q2: If a nation X can produce both
Q3: By importing something which is cheaper internationally
Q5: In a labor-abundant country, trade would tend
Q6: Latin America's abundant factor of production is:
A)
Q7: If a worker in Chile earns 100
Q8: As of 2013, Latin America has a
Q9: If Brazil is a labor abundant country,
Q10: The effects of trade on the distribution
Q11: Latin American economies tend to be labor
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