True or false wages in the auto manufacturing

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True or False: Wages in the auto manufacturing industry would be greater than those in the aircraft manufacturing industry. True False Explanation: If the country begins importing autos, the demand for domestic auto workers will fall. If the country begins to export aircraft, there will be an increase in the demand for workers in the aircraft industry. Points: 0 / 1 Close Explanation Explanation: If workers in these two industries require similar amounts of training, and they can choose which industry to train for at the beginning of their careers, then wages in the two industries would be equal. If not, new workers would choose the industry with the higher wage, pushing the wage in that industry down. See Section: Why Are There Always Some People Unemployed? Suppose that one day the economy opens itself to international trade and, as a result, starts importing autos and exporting aircraft. This would cause the demand for labor in the auto manufacturing industry to fall and the demand for labor in the aircraft manufacturing industry to rise . Points: 1 / 1 Close Explanation
Suppose that workers in one industry cannot be quickly retrained for the other. Which of the following accurately describes the effects of the shifts in demand on the equilibrium wages in the two industries? Check all that apply. Points:
0.33 / 1
a
Points: 1 / 1 Close Explanation Explanation: If wages do not adjust to their equilibrium levels, there will be a shortage of workers in the aircraft industry and a surplus of workers (unemployment) in the auto industry.

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