The combined impact of the labor pool effect of globalization for low-skilled workers and the market expansion effect of globalization for high-skilled workers is
A. falling income inequality, since one effect helps those with low incomes and the other effect hurts those with high incomes.
B. rising income inequality, since one effect helps those with high incomes and the other effect hurts those with low incomes.
C. stable income inequality, since one effect helps those with low incomes and the other effect helps those with high incomes.
D. stable income inequality, since one effect hurts those with low incomes and the other effect hurts those with high incomes.
Answer: B
You might also like to view...
Other things being equal, when the Fed buys U.S. government securities
A) the quantity of paper currency and coins in circulation expands by more than the amount of the Fed's purchase. B) the Fed's total assets and total liabilities immediately expand by exactly the amount of the Fed's purchase. C) the U.S. Treasury must immediately issue new securities to replace the securities that the Fed has removed from the market. D) the quantity of deposits in the U.S. banking system expands by less than the amount of the Fed's purchase.
The supply of a good or service is determined by
a. those who buy the good or service. b. the government. c. those who sell the good or service. d. both those who buy and those who sell the good or service.
Karl Marx was a (an):
a. 14th century Polish banker. b. 18th century Russian economist. c. 19th century Russian journalist. d. 19th century German philosopher.
Which of the following will not increase the opportunity for internal financing of capital?
A. Transparent capital markets. B. Seizing of private banks by the government. C. Saving incentives. D. Improved banking facilities.