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Question
multiple choice question
how is immigration from developing economies to developed economies due to an increase in global trade likely to impact wages in developed countries?
it will have no noticeable effect.
it will raise wages.
it will lower wages.
Increased immigration from developing to developed economies (linked to global trade) expands the supply of labor in developed countries. Based on basic labor market principles, a larger labor supply, ceteris paribus, puts downward pressure on wages, especially for lower-skilled roles where immigrant labor is concentrated.
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It will lower wages.