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Indicate whether the following statement is true/false/uncertain and explain why: 1. An individual worker may be better off as a result of trade in the
Indicate whether the following statement is true/false/uncertain and explain why:
1. An individual worker may be better off as a result of trade in the short run, but maybe worse off in the long run.
2. The HOS theory predicts that, if countries start trading goods, the factor prices(returns to factors, for example wages) will become more similar across countries.
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