Faced with the Evidence of Poor Working Conditions and Low

question 45

Multiple Choice

Faced with the evidence of poor working conditions and low wages in the border maquiladoras, Economists

• A) shrug their shoulders and ignore the issue.
• B) agree that trade theory is thus proven hollow and internally inconsistent.
• C) argue that U.S. consumers should not consume lettuce.
• D) argue that the poor conditions and low wages are actually improvements for the Mexican workers, and may be cited as gains-from-trade.
• E) argue that Mexico's generally high overall productivity offsets these conditions.

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Definitions:

Promisee

The person to whom a promise is made in a contractual agreement, and who stands to benefit from its fulfillment.

Promise

A promise or guarantee that an individual will take a specific action or ensure a certain event occurs.

Legally Sufficient

Describes evidence or information that meets the established legal standards to support a claim or decision in court.

Consideration

The exchange of something of value in return for the promise or service of another party, a fundamental component of a valid contract.