Asked by
Marcus Enfiajan
on Dec 12, 2024
Verified
Suppose the lowest-wage state in the United States is West Virginia and the highest-wage state is New York. Which of the following would be true?
A) If New York trades with West Virginia, consumers in New York will be worse off.
B) If New York trades with West Virginia, wages in New York will fall until they equal the wages in West Virginia.
C) New York would be better off if its state government imposed restrictions on the importation of goods made in West Virginia.
D) Both New York and West Virginia will be better off if they are allowed to trade freely.
Importation
The process of bringing goods or services into one country from another for the purpose of trade.
Trade Freely
The ability to exchange goods and services without restrictive regulations, tariffs, or quotas, enabling a more efficient allocation of resources globally.
- Attain knowledge of the foundational concepts and arguments in favor of and against globalization and free trade.
- Review the influence of international business transactions on career opportunities and manufacturing sectors in high-wage versus low-wage countries.
Verified Answer
KB
Learning Objectives
- Attain knowledge of the foundational concepts and arguments in favor of and against globalization and free trade.
- Review the influence of international business transactions on career opportunities and manufacturing sectors in high-wage versus low-wage countries.
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