Many Economists Criticize Protectionism Because It Causes Losses to Consumers

question 101

Multiple Choice

Many economists criticize protectionism because it causes losses to consumers and eliminates jobs in domestic industries that use protected products.Why, then, do some people support protectionism?

• A)The criticisms of economists are based on theory. In fact, protectionism increases consumer and producer surplus as well as employment.
• B)Supporters of protectionism in high-income countries believe that wages will fall as a result of competition with firms from developing countries.
• C)Supporters of protectionism believe free trade will cause their countries to lose their comparative advantage.
• D)Supporters of protectionism believe that free trade will lead to inflation.

---

Definitions:

Oral

Relating to the mouth, or administered through the mouth.

Rectal

Pertaining to the rectum, which is the final section of the large intestine, terminating at the anus.

Axillary

Relating to the area under the arm.

Oral

Pertaining to the mouth, including speech or the administration of medication through the mouth.