Choose the statement that is incorrect.
A)Wage differences drive international trade.
B)High-wage workers have high productivity.
C)International trade can improve the opportunities of people in developing countries and increase their incomes.
D)By trading with poor countries,we increase the demand for the goods that these countries produce and increase the demand for their labour.
E)Free trade creates some jobs and destroys other jobs.

Question

Quizplus · Accepted Answer

Wage differences do not necessarily drive international trade. Other factors such as availability of resources, technology, and trade policies also play significant roles.

Choose the Statement That Is Incorrect