Multiple Choice
Symbols: Q = number of workers demanded; W = wage rate; and VTP = value of the cumulative total product (output) of the particular number of workers. Assumptions: (1) The current wage in Zinnia is $18, and the current wage in Marigold is $14; (2) full employment exists in both countries. If migration is costless and unimpeded,
A) no migration will occur.
B) migration will cause the wage in Marigold to fall.
C) 1 worker will move from Marigold to Zinnia.
D) 2 workers will move from Marigold to Zinnia.
Correct Answer:
Verified
Correct Answer:
Verified
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