The entry of China and other developing countries into the global economy ________ the value of marginal product of factory workers in the United States and ________ their wage rate.

Question

Quizplus · Accepted Answer

The entry of China and other developing countries into the global economy increases the supply of labor globally, which can decrease the value of the marginal product of factory workers in the United States, leading to lower wage rates.

The Entry of China and Other Developing Countries into the Global