If the United States imports low-cost goods produced in low-wage countries instead of producing the goods domestically,
a. the United States will incur a net loss of total jobs.
b. the United States will gain, and domestic resources will be employed more productively.
c. dollars that leave the United States will not return to buy goods produced by high-wage American workers.
d. the availability of consumption goods in the United States will be reduced.
B
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During 2012, a country has consumption expenditures of $3.0 trillion, investment expenditures of $1.5 trillion, government expenditure of $1.5 trillion, exports of $1.0 trillion, and imports of $1.5 trillion
Aggregate expenditure for the country is A) $5.5 trillion. B) $6.5 trillion. C) $6.0 trillion. D) $8.5 trillion. E) $7.0 trillion.
Refer to the scenario above. Which of the following is likely to be true if Joe is known to be trustworthy?
A) Multiple equilibria will occur. B) A Nash equilibrium will occur. C) A socially inefficient equilibrium will occur. D) A dominant strategy equilibrium will occur.