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Adwords advertisers are allowed to choose which countries they will advertise to. Therefore, fewer advertisers are likely to advertise to countries outside the U.S. As a result, the remaining advertisers will probably pay less because there will not be as many competitors.
I am having a problem with one of my sites that offer a url redirection service. Its visitors suddenly shot up to over 15,000 a day, the vistors being mainly from Hong Kong and China. I have set up a pop-under but the CPM rate is only 0.3 compared to 1.7 from the U.S.
Derek
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