Multiple Choice
Suppose that land is specific to agriculture, capital is specific to manufacturing, and labor is mobile between sectors. According to the specific-factors model, if this country begins importing manufactured goods, which factor will experience the highest unemployment?
A) labor
B) capital
C) land
D) No factors will experience unemployment.
Correct Answer:

Verified
Correct Answer:
Verified
Q91: The United States maintains a program to
Q92: Under free trade and comparative advantage, the
Q93: (Table: An Economy Before and After Trade)
Q94: The absence of trade is known as:<br>A)
Q95: In the two-sector (manufacturing and agriculture) specific-factors
Q97: (Table: Revenues and Costs for Two Industries)
Q98: The two-sector (manufacturing and agriculture) specific-factors model
Q99: As a nation increases its production of
Q100: Consider the following information for a hypothetical
Q101: (Table: Sales and Payments) What is the