Increasing Wage Inequality Results When International Trade Leads to ________

question 57

Multiple Choice

Increasing wage inequality results when international trade leads to ________ wages for workers in exporting industries and ________ wages for workers in importing industries.

• A)higher; higher
• B)higher; lower
• C)lower; no change in
• D)lower; higher

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Definitions:

Net Income

The net income of a business following the subtraction of all costs, taxes, and operational expenses from its revenue.

Straight-Line Depreciation

A method of allocating an asset's cost evenly over its useful life, resulting in a constant annual expense.

Journal Entry

A record in accounting that documents a business transaction and its effect on various accounts, used to keep track of financial events by debits and credits.

Residual Value

The estimated amount that an asset will realize upon its sale at the end of its useful life.