What Is an Effective Counter Against the Argument That International

question 96

Multiple Choice

What is an effective counter against the argument that international trade should be restricted to protect domestic jobs?

• A)The more diversified the economy,the more stable it is.
• B)Free trade increases the number of jobs in which workers earn higher incomes.
• C)A more effective policy would be to support the industry with subsidies.
• D)Rent-seeking behaviour should be encouraged.
• E)Free trade in "green" goods will increase jobs.

---

Definitions:

Domestic Supply

The total quantity of goods and services produced within a country that are available for domestic consumption or export.

Domestic Demand

The total demand for goods and services within a specific country, reflecting the consumption patterns of its residents.

World Price

The global market price of a product or service, determined by international supply and demand.

International Trade

The exchange of goods and services between countries, allowing for the expansion of markets and access to resources, goods, and services.