01 May Question: The correct way to view factor price equalization is 1. the income distribution in rich coun…
The correct way to view factor price equalization is
| 1. | the income distribution in rich countries gets improves | |
| 2. | wage rates in rapidly growing poor countries can grow faster than wage rates in rich countries | |
| 3. | the return to capital falls in poor countries and rises in rich countries | |
| 4. | wage rates in rich countries fall and wage rates in poor countries rise | |
| 5. | there is no correct way, it is totally wrong |
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