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A worker in Vietnam can earn $6 per day making cotton cloth on a hand loom. A worker in theUnited States can earn $85 per day making cotton cloth with a mechanical loom. What is the likelyexplanation for the difference in wages?a. U.S. textile workers belong to a union, whereas Vietnamese textile workers do not belong to a union.b. There is little demand for cotton cloth in Vietnam and great demand in the U.S.c. Labor is more productive making cotton cloth with a mechanical loom than with a hand loom.d. Vietnam has a low-wage policy to make its textile industry more competitive in world markets.
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