What is an effective counter against the argument that international trade should be restricted to protect domestic jobs?
A) A more effective policy would be to support the industry with subsidies.
B) The more diversified the economy, the more stable it is.
C) Free trade increases the number of jobs in which workers earn higher incomes.
D) Rent seeking behavior should be encouraged.
E) Free trade in "green" goods will increase jobs.

Question

Quizplus · Accepted Answer

Studies have shown that free trade increases the number of jobs in which workers earn higher incomes. This is because free trade allows domestic companies to specialize in what they do best, which leads to increased efficiency and productivity. This, in turn, leads to more employment opportunities and higher wages for workers. Restricting international trade may protect some domestic jobs, but it would also lead to higher consumer prices and a less efficient economy overall.

What Is an Effective Counter Against the Argument That International