Suppose a government is facing accusations of allowing domestic jobs to be lost to foreign labor in other countries. How can the government address these concerns?
I. Governments can ensure that unemployment insurance and strong education programs exist to help workers retrain for new jobs.
II. Governments can stress the importance of job creation in those industries that benefit from international trade, and encourage job creation in those industries.
III. Governments can set up extensive trade restrictions to limit the impact of foreign firms on domestic production.
A) I only
B) II and III only
C) I and II only
D) I, II, and III

Question

Quizplus · Accepted Answer

The government can address concerns about job loss to foreign labor by providing unemployment insurance and strong education programs to help workers retrain for new jobs (I), and by emphasizing job creation in industries that benefit from international trade and encouraging job creation in those industries (II). Trade restrictions (III) are not generally recommended as they can potentially harm international relations and halt the economic benefits of globalization. Therefore, option C is the best choice.

Suppose a Government Is Facing Accusations of Allowing Domestic Jobs