Question

why are goods and services expensive in underpopulated countries?​

Answer 1

Answer:

There is a large body of literature on the role of the nontraded good, most of which are services. ... Bhagwati (1984) argued that when the Poor and Rich countries specialize in a different traded good and the nontraded good, the wage-rent ratio is lower and hence the services are cheaper in the Poor country.

Explanation:

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