In what direction will unskilled labor migrate


Please assist with the given problems.

Task: Consider the same setup as previous questions, but instead of introducing free trade (free movement of goods and services), we introduce free mobility of skilled and unskilled labor.

Question 1: In what direction will unskilled labor migrate? What about skilled labor? Why?

Question 2: When would skilled and unskilled labor stop migrating across borders?

Question 3: At that point, would it still pay off to introduce free trade? Why or why not?

Question 4: "Free trade is a substitute for the mobility of factors of production." Explain.

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Microeconomics: In what direction will unskilled labor migrate
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