In the Two-Country Model of International Labor Mobility

question 20

Multiple Choice

In the two-country model of international labor mobility

• A) the effect of migration is to cause real wages in the two countries to converge.
• B) the effect of migration is to cause real wages in the two countries to diverge.
• C) labor has only limited international mobility.
• D) the long-run equilibrium global real wage is equal to the lesser of the pre-migration wages in the two countries.
• E) the long-run equilibrium global real wage is equal to the greater of the pre-migration wages in the two countries.

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Definitions:

Mental Age

A measure of an individual's cognitive development, expressed as the age at which an average individual reaches the same level of mental performance.

Chronological Age

The number of years a person has lived, as measured from their birth to a given date.

Cultural Biases

Prejudices or predispositions toward or against certain cultures, often influencing perceptions and behaviors unconsciously.

Metacognition

Awareness and understanding of one's own thought processes, or thinking about thinking.