If the Comparative Advantage Between Japan and Korea Was Due

question 130

Multiple Choice

If the comparative advantage between Japan and Korea was due only to differences in relative capital and labor abundance, then trade would tend to

• A)increase real wages in the higher-wage country and lower real wages in the lower-wage country.
• B)have no effect on the real wages in either country.
• C)increase real wages in the lower-wage country and lower real wages in the higher-wage country.
• D)decrease money wages in the lower-wage country and raise money wages in the higher-wage country.
• E)prevent wages from changing in either country.

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Definitions:

High Self-Esteem

High Self-Esteem refers to an individual's positive evaluation of self-worth and confidence in their own abilities.

Future Obligation

Commitments or responsibilities that are anticipated or required to be fulfilled in the future.

Materialistic Ideals

The belief that material wealth and physical possessions are the primary indicators of success or happiness.

Industrial Revolution

A period of major industrialization from the late 18th to early 19th century that transformed agriculture-based societies into industrialized ones.