If Wage Rates Are Lower in Mexico Than in Germany

question 37

True/False

If wage rates are lower in Mexico than in Germany, labor costs per unit of output can still be higher in Mexico.

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Definitions:

Pyridine

An aromatic heterocyclic organic compound characterized by a six-membered ring structure composed of five carbon atoms and one nitrogen atom.

1-Hexanamine

An organic chemical compound that is a primary amine consisting of a six-carbon chain ending with an amino group.

Ammonia

A colorless gas with a characteristic pungent smell, consisting of nitrogen and hydrogen (NH3), and is a common nitrogenous waste, particularly among aquatic organisms.

1-Bromohexane

A compound consisting of a six-carbon chain with a bromine atom attached to the first carbon.