In the situation in Question #13 above, if trade is taking place, what is the "lower limit" to the U.S. worker's wage per day?
A) $30
B) $40
C) $90
D) $120

Question

Quizplus · Accepted Answer

The U.S. worker cannot be paid less than the minimum wage in the U.S., which currently stands at $7.25 per hour. Assuming an 8-hour workday, the worker cannot be paid less than $58 per day. However, if the worker is being compared to workers in Mexico who are paid $30 per day, then the U.S. worker may be paid no less than double that amount, or $60 per day. Therefore, the "lower limit" to the U.S. worker's wage per day would be $60 if trade is taking place. 
Therefore, the correct choice is C.

In the Situation in Question #13 Above, If Trade Is