Which of the following is a true statement? a. Exporters benefit from trade and importers do not. b. Free trade harms domestic producers of goods that face import competition. c. Consumers benefit from trade and producers do not. d. Everyone benefits from free trade in the short run.

Which of the following is a true statement?

a. Exporters benefit from trade and importers do not.

b. Free trade harms domestic producers of goods that face import competition.

c. Consumers benefit from trade and producers do not.

d. Everyone benefits from free trade in the short run.

 

 

answer:

Answer:- Which of the following is a true statement?

Correct Answer:-
b. Free trade harms domestic producers of goods that face import competition.

Reason:- Because of free trade, the firms all over the world can invest in any market and are free to offer their products and service to local consumers and thus there will be a tough competition in front of local producers due to imported products and services.

Add Comment
0 Answer(s)
  • Votes
  • Oldest

Your Answer

By posting your answer, you agree to the privacy policy and terms of service.