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Yes, your observation is correct. International trade allows countries to take advantage of something known as comparative advantage. Since one country can produce a product by giving up less of another, they will produce primarily those goods, which will ultimately lead to higher total global output. This in turn means there are more goods for consumption, which means that everyone will end up being better off in the long run. Thus, international trade helps everyone in the long run.

But you know what they say about the long run...... we are all dead. This is why many countries adopt protective measures, because in the short run it can disrupt some industries in a country and displace some workers, such as the automotive industry in the US.

2007-03-08 06:09:21 · answer #1 · answered by theeconomicsguy 5 · 0 0

A statement followed by a question mark is not a question.

We can't answer statements, I suppose we could agree or disagree but you aren't asking for either.

BTW, with some exceptions your statement is true...

2007-03-06 23:50:01 · answer #2 · answered by gimpalomg 7 · 0 0

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