Question
As the country opens up to trade, the amount of labor in the agricultural sector will ------------,and the amount of labor in the manufacturing sector
As the country opens up to trade, the amount of labor in the agricultural sector will
------------,and the amount of labor in the manufacturing sector will
-------------.Similarly,the amount of capital in the manufacturing sector will
-------------,and the amount of land in the agricultural sector will.(Expectedanswers:"increase","decrease",or"stay the same".)
Given your answer to the previous question, after tradeliberalization,thelabor/capitalratio in the manufacturing sector will--------------, and the labor/land ratio in the agricultural sector will--------------.(Expected answers:"increase","decrease",or"stay the same".)
Given your answer to the previous question, after trade liberalizationthe return on capital in the manufacturing industry will-------------.Similarly,the return on land in the agricultural sector will----------------.(Expectedanswers:"increase","decrease",or"stay the same".)
What will happen to the real wage earned by workers based on your answers to the previous questions?
Who in this economy will favor trade liberalization?Who will be opposed to it?
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