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In the Specific­factors Model, an Increase in the Price of

Question 15

Multiple Choice

In the specific­factors model, an increase in the price of
The manufactured good will cause:


A) an increase in the wage in the manufacturing sector.
B) capital to move from the agricultural to the manufacturing sector.
C) land to move from the manufacturing to the agricultural sector.
D) a decrease in the wage in the agricultural sector.

Correct Answer:

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