GK
ACCOUNTING
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Question
[CLICK ON ANY CHOICE TO KNOW THE RIGHT ANSWER]
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Import-competing industries
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Industries that sell to only foreign buyers
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Industries that sell to domestic and foreign buyers
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Industries in which there are neither imports nor exports
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Detailed explanation-1: -Answer» B. import-competing industries.
Detailed explanation-2: -The short-term unemployment is most likely to occur in the international trade in:a) Industries that sell to only foreign buyers.
Detailed explanation-3: -Lower Global Prices For consumers, free trade creates a competitive environment where countries strive to provide the lowest possible prices for their resources. This in turn allows manufacturers to provide lower prices for finished goods, ultimately increasing the buying power for all consumers.
Detailed explanation-4: -They find that the countries’ trade liberalizations led to immediate increases in unemployment rates that dissipated in the long run. Felbermayr, Prat, and Schmerer (2011) report an econometric analysis of a panel of 20 OECD countries and a broader cross-section of 62 countries for the period 1990-2007.