International trade harms the owners of relatively scarce factors of production and benefit the owners of relatively abundant factors of production in a country. This is because: Group of answer choices Factors that are relatively scarce are more productive and get paid more. 2. Prices of relatively scarce factors are relatively inexpensive compared with prices of relatively abundant factors. 3. Factors that are relatively abundant are more productive and get paid more. 4. Prices of relatively scarce factors are relatively expensive in a country compared with prices of elsewhere when there is no trade.
International trade harms the owners of relatively scarce factors of production and benefit the owners of relatively abundant factors of production in a country. This is because: Group of answer choices Factors that are relatively scarce are more productive and get paid more. 2. Prices of relatively scarce factors are relatively inexpensive compared with prices of relatively abundant factors. 3. Factors that are relatively abundant are more productive and get paid more. 4. Prices of relatively scarce factors are relatively expensive in a country compared with prices of elsewhere when there is no trade.
Principles of Macroeconomics (MindTap Course List)
8th Edition
ISBN:9781305971509
Author:N. Gregory Mankiw
Publisher:N. Gregory Mankiw
Chapter9: Application: International Trade
Section: Chapter Questions
Problem 1CQQ
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International trade harms the owners of relatively scarce factors of production and benefit the owners of relatively abundant factors of production in a country. This is because:
Group of answer choices
- Factors that are relatively scarce are more productive and get paid more.
2. Prices of relatively scarce factors are relatively inexpensive compared with prices of relatively abundant factors.
3. Factors that are relatively abundant are more productive and get paid more.
4. Prices of relatively scarce factors are relatively expensive in a country compared with prices of elsewhere when there is no trade.
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