The dynamic case for free trade rests on:
A) the strong empirical evidence that points to a clear positive relationship between international trade and economic growth.
B) the standard growth models that also point to a positive effect of international trade as a positive influence on investment, output, and the creation of technology.
C) the restrictive conditions that must be met for protection to be growth-superior to free trade.
D) All of the above.
E) None of the above.

Question

Quizplus · Accepted Answer

The dynamic case for free trade rests on all the factors mentioned in options A, B, and C. Empirical evidence shows a positive relationship between international trade and economic growth, standard growth models also support this claim, and protectionism can only be growth-superior to free trade under certain restrictive conditions. Therefore, the best answer is D, all of the above.

The Dynamic Case for Free Trade Rests On