Final answer:
With increased international trade and competitiveness, an upward shift in Producer Surplus and a downward shift in Wages can be expected due to changes in demand for labor and goods in different industries.
Step-by-step explanation:
If increased international trade makes products more competitive in the U.S., we would expect to observe an upward shift in PS (Producer Surplus) and possibly a downward shift in Wages.
This is because as international trade grows, industries that succeed in the global market typically experience a higher demand for their goods, which can increase producer surplus due to higher sales and potential increased market prices. Conversely, industries facing intensified competition from imported goods may see a decrease in demand for their labor, resulting in a potential decrease in wages as they face a shift to the left in the labor demand curve.