Hapland and Genoshia Have Just Started to Trade with Each

question 77

Multiple Choice

Hapland and Genoshia have just started to trade with each other.Hapland exports goods produced with skilled labor and imports goods made with unskilled labor from Genoshia.Over time,we would expect that the wages of skilled labor in Hapland will

• A) rise, and the wages of unskilled labor in Hapland will fall.
• B) fall, and the wages of unskilled labor in Hapland will rise.
• C) rise, and the wages of unskilled labor in Hapland will rise.
• D) fall, and the wages of unskilled labor in Hapland will fall.

---

Definitions:

High-Quality Cars

Vehicles that are characterized by superior craftsmanship, reliability, durability, and performance compared to standard automobiles.

Low-Quality Cars

A term describing cars that are made with inferior materials or manufacturing standards, which might lead to poor performance, reliability, and satisfaction.

Demand Curves

Graphical representations that show the relationship between the price of a good and the quantity demanded by consumers at those prices.

Signaling Device

A method used by individuals or entities to convey information or intentions to others, often to indicate quality, trustworthiness, or status.