Since the "winners" from free trade can more than compensate the "losers" why does it matter if wages and employment fall when a country engages in free trade?

What will be an ideal response?

While it is correct that the "winners" from free trade can more than compensate the "losers," this rarely actually happens. First, the government might not be able to effectively carry out such wealth transfers. Second, it is often difficult to pinpoint exactly who the winners are and how much each gained, and who the losers are and how much each lost. Many people enjoy small benefits from trade but a few people suffer very heavy losses.

Economics

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When people become underemployed, they not only lose income immediately, but they may also have a permanent decrease in income even after regaining employment

a. True b. False Indicate whether the statement is true or false

Economics

A country has $45 million of domestic investment and net capital outflow of -$60 million. What is its saving?

a. $15 million b. -$15 million c. $105 million d. -$105 million

Economics