Economics 9708 · AS & A Level · Long-run costs and economies of scale

Long-run costs and economies of scale — practice question

Workers from low-income countries frequently move to high-income countries and obtain employment. In what way would this labour movement be expected to influence economic growth and the pressure for wage increases in the high-income country?

  • Aeconomic growth: decrease; pressure on wage rises: decrease
  • Beconomic growth: decrease; pressure on wage rises: increase
  • Ceconomic growth: increase; pressure on wage rises: decrease
  • Deconomic growth: increase; pressure on wage rises: increase

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