Which of the following statements about the redistribution of income due to free trade is true?

a. Any loss of income is transitory.
b. Trade has huge benefits but only modest distributional impacts.
c. Some groups will necessarily suffer long-term losses in income from free trade.
d. While some people are hurt in the short term, everyone will benefit in the long run.
e. Because free trade creates complications, it is best to enforce trade restrictions.

Answer: c