In the long run, which of the following will occur if the U.S. federal government eliminates restrictions on migration of Mexican workers to the United States?
A) U.S. production of labor-intensive goods will increase.
B) U.S. production of both labor-intensive and capital-intensive goods will increase.
C) U.S. production of capital-intensive goods will increase.
D) Mexican production of labor-intensive goods will increase.

Question

Quizplus · Accepted Answer

Eliminating restrictions on the migration of Mexican workers to the United States would likely increase the labor force in the U.S., particularly in sectors that are labor-intensive. This is because Mexican workers, seeking better employment opportunities, would fill gaps in the U.S. labor market, especially in industries that require a significant amount of manual labor. This influx of labor would enable the U.S. to produce more labor-intensive goods.

In the Long Run, Which of the Following Will Occur