Which of the following is TRUE regarding trade and wages?     Countries with low productivity levels will always have lower wages than high-productivity nations whether they trade or not.   Trade can increase wages by increasing the productivity of labor.   Trade directly increases productivity, which in turn increases wages.   Trade helps to equalize wages between high- and low-productivity countries.

Micro Economics For Today
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ISBN:9781337613064
Author:Tucker, Irvin B.
Publisher:Tucker, Irvin B.
Chapter15: International Trade And Finance
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Which of the following is TRUE regarding trade and wages?
 
  Countries with low productivity levels will always have lower wages than high-productivity nations whether they trade or not.
  Trade can increase wages by increasing the productivity of labor.
  Trade directly increases productivity, which in turn increases wages.
  Trade helps to equalize wages between high- and low-productivity countries. 
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