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Unformatted text preview: 2. Explain the adjustments to factor prices as a result of factor mobility within each domestic economy. 3. Explain the long run effects from opening trade on the following: Workers in the US Workers in the rest of the world Landlords in the US Landlords in the rest of the world 4. True-false-uncertain. Explain. The factor of production used more intensively in the imported product stands to gain more from opening trade. In the long run factor prices in different sectors of the domestic economy tend to equalize as a result of factor mobility....
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This document was uploaded on 12/04/2011.
- Spring '09