Solved

If Trade Causes Shifts in Production So That Some Workers

Question 87

Multiple Choice

If trade causes shifts in production so that some workers
Are laid off, most economists conclude:


A) that the nation should extend unemployment benefits for a longer period.
B) that the situation is usually temporary because there are jobs created in export industries.
C) that we should expect wages to fall and therefore should not allow imports to take U.S.jobs.
D) that all workers will be better off because overall the equilibrium wage will rise.

Correct Answer:

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