The Argument That Trade Generates Gains for all Workers May

question 14

Multiple Choice

The argument that trade generates gains for all workers may NOT be true because:

• A) a more realistic assumption includes capital and land as specific factors of production and recognizes that trade will generate gains for some factors and losses for others.
• B) greedy corporations exploit workers.
• C) technology gains are concentrated among low-skilled workers.
• D) some workers lack skills and training and cannot find jobs.

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Definitions:

Cash Paid

Money that a company spends during a period for operating activities, investments, and financing activities, excluding non-cash transactions.

Dividends to Stockholders

Payments made to shareholders out of a corporation's profits as a reward for investing in its shares.

Cash Paid for Wages

The amount of money disbursed by a company to its employees as compensation for labor.