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The Factor-Price-Equalization Theorem Tells Us That Free Trade Between Two

Question 19

Multiple Choice

The factor-price-equalization theorem tells us that free trade between two countries should result in:


A) all workers in the two countries earning the same wage rate.
B) all workers in the two countries having the same skill level.
C) all workers of the same skill level earning the same wage rate in the two countries.
D) all input prices being equal within each country.

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