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Differences Between Trade Partners in Real Hourly Wage Rates for Unskilled

Question 22

Multiple Choice

Differences between trade partners in real hourly wage rates for unskilled labor illustrate


A) the fallacy of the factor-price equalization theorem
B) the importance of different capital endowments
C) discrepancies between nations in accounting procedures
D) the principle of comparative advantage
E) the disequilibria created by international trade

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