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Wage levels in china and other poorer countries

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Reference no: EM131542320

American television commentator C makes the following statement: "Reducing the barriers to trade with low-wage countries will expose our workers to competition from millions of low-paid workers in the developing world. The result will be that American wage levels will plunge downward until they equal the wage levels in China and other poorer countries." Comment using economic theory.

Reference no: EM131542320

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