Recall the below figure about people's opinions about trade in advanced, emerging, and developing countries. Use BOTH the Ricardian and specific factors models to evaluate whether trade creates jobs, trade decreases prices, and trade raises wages. Be clear about what jobs, prices, and wages you are referring to (i.e. post-trade? Pre-trade in the comparative advantage/disadvantage sectors?). What would you conclude about people's beliefs about trade compared to what our models predict?

Developing Nations Are Generally More Positive about Certain Trade Benefits Advanced Emerging .Developing 84% Trade is good 78% 87% Foreign companies 74 building factories in 70 our country is good 85 44 Trade creates jobs 52 66 Foreign companies 31 buying domestic 44 companies is good 57 Trade decreases 28 prices 24 29 25 Trade raises wages 45 55 Note: Medians by country economiccategorization. Source: Spring 2014 Global Attitudes survey. Q27-Q32. PEW RESEARCH CENTER