Economists argue for free trade in export markets because
A) all consumers and producers benefit from exporting goods.
B) the gains to the U.S. producers outweigh the losses to the U.S. consumers.
C) the gains to the U.S. consumers outweigh the losses to the U.S. producers.
D) no one is made worse off by exporting goods.
E) exporting goods decreases total surplus.

Question

Quizplus · Accepted Answer

The gains to U.S. producers from exporting goods, such as increased sales and profits, often outweigh the losses to U.S. consumers, who may face higher prices for those goods on the domestic market. This is a common argument in favor of free trade, as it emphasizes the net positive impact on the economy from an export perspective.

Economists Argue for Free Trade in Export Markets Because