Answer the following questions with specific explanations.

Question 1 1 pts Collapse of the USSR led to a large scale outflow of labor force to European countries. The inow of migrants to Europe and outflow of migrants from former Soviet republics in the short run led to 0 an increase in wages in Europe and a decrease in former Soviet Republics 0 an increase in wages in both regions 0 a decrease in wages in both regions 0 a decrease in wages in Europe and an increase in former Soviet Republics Question 2 1 pts In Heckscher-Ohlin model, an increase of labor stock by 20% and increase stock by 10% will 0 have an ambiguous effect on the output of both goods 0 increase the output of labor-intensive good and will not affect the output of capital-intensive good 0 increase the output of labor-intensive good and will have an ambiguous effect the output of capital-intensive good O increase the output of capital-intensive good and have an ambiguous effect on the output of labor-intensive good D Question 3 1 pts In the short-run, immigration tends to O benefit workers in one sector of the economy and hurt those in the other O Not affect factor prices O benefit specific factor owners O Increase wage in both sectors of the economy D Question 4 1 pts Gains from trade in the model of monopolistic competition are driven by O differences in technology O higher variety O higher variety and scale effects O scale effects