4. The U.S. labor movement--which mostly represents blue-collar workers rather than professionals and highly educated workers-has traditionally favored limits on imports from less-affluent countries. Is this a shortsighted policy or a rational one in view of the interests of union members? How does the answer depend on the model 5. of trade? the United There is substantial inequality of wage levels between regions within States. For example, wages of manufacturing workers in equivalent jobs are about 20 percent lower in the Southeast than they are in the Far West. Which of the expla nations of failure of factor price equalization might account for this? How is this case different from the divergence of wages between the United States and Mexico(which is geographically closer to both the U.S. Southeast and the Far West South- east and Far West are to each other)? the more recent Bowen, Leamer, and Svei 6. Explain why the Leontief paradox and kauskas reported in the text contradict the factor-proportions theory that 7. In the discussion of empirical results on the Heckscher-ohlin model, we noted recent work suggests that the efficiency of factors of production seems to differ internationally. Explain how this would affect the concept of factor price equalization.