Which of the Following Statements Correctly Summarizes a Difference Between

question 67

Multiple Choice

Which of the following statements correctly summarizes a difference between the layperson's and the economist's views of the net benefits of trade?

• A) Economists often argue that the gains from trade in the form of low consumer prices tend to be widespread and not easily recognizable while the costs in jobs lost tend to be concentrated and readily identifiable.
• B) Economists often argue that most U.S. jobs are at risk of outsourcing while laypeople intuitively recognize that inherent in comparative advantage is that each country has a comparative advantage in the production of some good.
• C) Economists focus on trade in manufactured goods while laypeople also focus on trade involving the services of people who manage the trade.
• D) Economists most often argue that the costs of trade outweigh the benefits while laypeople often argue that the benefits of trade outweigh the costs.

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Definitions:

Fully Performed

A contractual term indicating that all obligations and duties outlined in the agreement have been completed by all parties involved.

Contract Terms

the specific provisions, conditions, and requirements laid out in a contract that define the obligations and rights of the parties involved.

Fair Market Value

The amount for which a property would be sold in an open market transaction, involving a ready seller and a ready buyer, both possessing adequate awareness of the pertinent details.

Recovery

The action of regaining possession or obtaining compensation for a loss.