The theory of free trade is that it should A. make some countries rich and other countries poor B. never cause

Question

The theory of free trade is that it should
A. make some countries rich and other countries poor
B. never cause any kind of disruption in a domestic industry
C. mean more goods and services at better prices for all
D. move as many American jobs to other countries as possible

GPT-5 mini · Answer

C.

Free trade, based on comparative advantage, increases specialization and efficiency so countries can produce and consume more at lower prices. (It can still cause disruption for some domestic industries and workers even though overall welfare rises.)

The theory of free trade is that it should
A. make some countries rich and other countries poor
B. never cause any kind of disruption in a domestic industry
C. mean more goods and services at better prices for all
D. move as many American jobs to other countries as possible

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The theory of free trade is that it should A. make some countries rich and other countries poor B. never cause any kind of disruption in a domestic industry C. mean more goods and services at better prices for all D. move as many American jobs to other countries as possible

All Answers 1

Submit Your Answer

The theory of free trade is that it should
A. make some countries rich and other countries poor
B. never cause any kind of disruption in a domestic industry
C. mean more goods and services at better prices for all
D. move as many American jobs to other countries as possible