What Is an Effective Counter Against the Argument That International

question 120

Multiple Choice

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

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

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Definitions:

Interest Calculations

The process of figuring out the amount of interest to be added to the principal amount of a loan or deposit, based on the rate and the time.

Payment Maturity

The date on which a financial obligation must be repaid in full.

Note Issuance

Note issuance involves the creation and offering of a promissory note, a financial instrument wherein the issuer promises to pay a specific amount to the holder on demand or at a future date.

Estimable Liability

A financial obligation or debt that can be measured or estimated with a reasonable level of accuracy.