A country that has an abundance of cheap labor will tend to
A) import goods that are produced using a lot of labor.
B) refrain from international trade entirely.
C) export goods that are produced using a lot of labor.
D) export goods that are produced using little labor.

Question

Quizplus · Accepted Answer

A country with an abundance of cheap labor will tend to export goods that are labor-intensive, as it has a comparative advantage in producing such goods more efficiently and at a lower cost than countries with more expensive labor.

A Country That Has an Abundance of Cheap Labor Will