Question: Assume that only two countries, A and B , exist. Refer to the table above. You are told that Country B has no minimum wage

Assume that only two countries, A and B, exist.
Refer to the table above. You are told that Country B has no minimum wage or child labor laws. Now the correct answer is
Group of answer choices
trade will not occur between these two countries.
country B will export good S.
both countries will import good S.
country A will export good S.
both countries will export good S.

Step by Step Solution

There are 3 Steps involved in it

1 Expert Approved Answer
Step: 1 Unlock blur-text-image
Question Has Been Solved by an Expert!

Get step-by-step solutions from verified subject matter experts

Step: 2 Unlock
Step: 3 Unlock

Students Have Also Explored These Related Economics Questions!

Q:

1. In the specific factors model, a 10% increase in the price of food accompanied by a 0% increase in the price of cloth will cause wages to ________, the production of cloth to _______, and the...

Q:

Factor Endowments Factor Endowments Country A Country B Labor Force 25 45 Capital Stock 15 20 Refer to the table above. Assume that only two countries, A and B, exist and that both have access to...

Q:

Factor Endowments Factor Endowments Country A Country B Labor Force 30 15 Capital Stock 15 5 Refer to the table above. Assume that only two countries, A and B, exist and that both have access to...

Q:

Please explain in details Assume that only two countries, A and B, exist. Countries Factor Endowments A B La]: or Force 45 20 Digital Stock 15 ID 6) Refer to the table above. If good 8 is capital...

Q:

1) In the 2-factor, 2 good Heckscher-Ohlin model, trade will the owners of a country's factor and will the good that uses that factor intensively. B) harm; abundant; import A) benefit; abundant;...

Q:

ber81438_exr_001-068.qxd 8/11/09 7:38 PM Page 51 EXERCISE 10.3: D EVELOPING AN E MPLOYEE B ENEFITS P ROGRAM * Overview Chapter 10 provides an overview of types of employee benefits programs. The...

Q:

Question 1 If a graph has a line that shows the quantity of flat-screen televisions sold in the last five years, it is known as a pie chart. a time-series graph. a demand curve for outsourcing. a...

Q:

CHAP TER 1 The Role of Human Resources HUMAN RESOURCE MANAGEMENT DAY TO DAY You have just been hired to work in the human resource department of a small company. You heard about the job through a...

Q:

\f 134 THE BIG SQUEEZE munications Workers of America that has sought to unionize high"tech workers. "They hire whomever Microsoft tells them to put on their payroll. Then they p~ocess their...

Q:

Countries Factor endowments A B Labor Force 15 45 Ca pital Stock 20 90 14] There are towr goods: X and Y. If good X is labor intensive, the HeckscherOhlin theory implies: Which country will export...

Q:

On February 12, 5,000 shares of Mid-Ex Company are acquired at a price of $24 per share plus a $200 brokerage fee. On April 22, a $0.36-per-share dividend was received on the Mid-Ex Company stock. On...

Q:

In a free market, what factors underlie currency exchange values? Which factors best apply to long- and short-term exchange rates?

Q:

1 a The diagram shows a pentagonal prism. Write the number of faces, vertices and edges for this prism. b The formula linking the number of faces (F), vertices (V) and edges (E) for a 3D shape with...

Q:

Question 9 1 pts What must be the annual payment you receive in order to earn 7.2% rate of return on a perpetuity that has a price of $661.82? (Answer in $s to the nearest cent, i.e. xx.xx, with no...