Thus, the decision to liberalize exports by C is likely to displace As exports to B with adverse effects on equality. It may even happen that, because of Cs decision to liberalize, A will shift to the production of goods with a medium-high skill and capital content with the effect of worsening its wage distribution. This is what happened in the 1990s, with the entry into the world market of labour-intensive manufactures by China and other Iow-wage economies affecting the exports and comparative advantage of the middle-income countries of Latin America, Eastern Europe and South-East Asia. While an increase in land- or mineral-intensive exports may reduce inequality in countries with an egalitarian distribution of assets, it would raise it in countries dominated by latifundia and a highly concentrated mining sector. Indeed, due to the labour surplus prevalent in their labour market, it is unlikely that an eventual rise in the demand of workers would raise their wages in line with the increase in export receipts. Yet, trade liberalization can enlarge the access to previously restricted technologies or, by relaxing foreign exchange constraints, raise the imports of capital-intensive investment goods.