It is argued that if a rich high wage country such as the United States were to expand trade with a relatively lower wage country such as Mexico, the U.S. industry would migrate south, and U.S. wages would fall to the level of Mexico's. What is your opinion about this argument?© BrainMass Inc. brainmass.com October 10, 2019, 12:20 am ad1c9bdddf
It is not possible for this to happen. As a matter of fact, if U.S industry were to expand to other countries, they would have to rely on ...
The solution provides detailed explanations if a rich high wage country expanded trade with a lower wage country.