Which of the statements about the gains from international trade is correct?
A) Everyone gains from international trade.
B) Some people gain from international trade and some lose, though overall the losses exceed the gains.
C) Some people gain from international trade and some lose, though overall the gains exceed the losses.
D) Everyone loses from international trade.

Question

Quizplus · Accepted Answer

International trade generally results in overall gains for an economy, with some sectors or individuals benefiting more than others. While it creates more economic activity and opportunities, it can also lead to job losses in industries that cannot compete with imports, hence not everyone benefits equally. However, the overall economic theory and evidence suggest that the gains from trade exceed the losses, making economies more efficient and leading to a greater variety of goods and services at lower prices.

Which of the Statements About the Gains from International Trade