Since losers from international trade are always compensated for their losses, international trade increases the size of the economic pie and the size of the pieces such that everyone is better off.

Question

Quizplus · Accepted Answer

Losers from international trade are not always compensated for their losses, and some individuals or industries may be worse off due to increased competition or changes in the market. However, overall international trade is still beneficial as it allows for greater specialization and efficiency, leading to lower prices and increased consumer surplus.

Since Losers from International Trade Are Always Compensated for Their