Which of the Following Has Not Been an Effect of Globalization

question 21

Multiple Choice

Which of the following has not been an effect of globalization and a large trade deficit?

• A)Lower wages in the tradable sector than there otherwise would have been.
• B)Lower employment in the tradable sector than there otherwise would have been.
• C)Significant decline in wages and unemployment in the nontradable sector.
• D)An increase in income disparities.

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Definitions:

United States

A country located primarily in North America, consisting of 50 states and a federal district, known for its large economy and diverse population.

Savings Rate

The proportion of disposable income that is saved by an individual or household instead of being spent.

Disposable Incomes

The financial sum available for households to spend and put aside for savings after income tax reductions.

Productivity Growth

An improvement in production effectiveness, characterized by the quantity of goods and services generated per unit of labor, capital, or other resources.