When Looking at the Impact of a Change in Trade

question 14

Multiple Choice

When looking at the impact of a change in trade policy economists use consumer and producer surplus to look at the winners and losers. Free trade economists insist that

• A)no one loses.
• B)everyone loses.
• C)there are winners and losers but that the gain to the winners is greater than the loss to the losers.
• D)there are winners and losers but that the loss to the losers is greater than the gain to the winners.

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Definitions:

Suspending

Temporarily halting or delaying an activity, process, or privilege, often until specific conditions are met.

Collective Agreements

Legally binding contracts between employers and workers' representatives (often unions) setting out terms of employment, wages, and workplace conditions.

Common Law

A legal system based on custom, tradition, and court decisions, as opposed to statutory laws.

Material Change Report

A document filed by publicly traded companies to disclose any changes that could be considered important to shareholders or the market.