Who gains from imports? How do they gain? Who loses? How do they lose? Does the overall economy gain or lose from imports?
What will be an ideal response?
Consumers of the good being imported gain from imports. They gain because the price they pay falls. As a result, they buy more of the good. Producers of the good being imported lose from imports. They lose because the price they receive falls. As a result, they produce less of the good. The overall economy gains because the gain to consumers exceeds the loss to producers.
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If the insurance company can successfully screen both Nadia and Samantha into appropriate contracts, it would earn
a. Between a zero and $200 loss b. Between zero and $200 c. $3500 loss d. $3500 gain
The fact that some people will work hard to earn a lot of money while others will be content with much less income indicates that
a. worker preferences are an important source of earning differentials. b. skill levels of laborers are a minor consideration in wage rate determination. c. economics ranks one set of worker preferences as more desirable than another. d. some people can be paid less for doing hard work while others have to be paid a premium for doing a similar task.