Question

The benefit of saving some American jobs in specific industries protected from foreign competition Multiple Choice A. has risen in recent years. B. is much less than the costs to the whole American economy. C. is much greater than the costs to the whole American economy. D. has fallen in recent years.

Answer 1

The benefit of saving jobs in protected industries is much less than the overall costs to the American economy, as protectionism can lead to higher consumer prices and job losses in unprotected industries. The correct option is (B).

Step-by-step explanation:

The question pertains to the benefit of saving American jobs in industries that are protected from foreign competition due to trade protectionism, and how that benefit compares to the costs to the American economy as a whole.

The accurate choice, based on provided information, suggests that the benefit of saving some American jobs is much less than the costs to the whole American economy.

This is because protectionism leads to higher prices for consumers, which means less spending in other areas of the economy and thereby costing jobs in unprotected industries.

Also, firms purchasing inputs from protected industries at a higher price may lose to foreign competition, which does not face these inflated costs.

Consequently, according to the United States International Trade Commission and other economic studies, although protectionism may shift jobs within the economy, it typically does not lead to a net increase in employment and comes with a significant cost to consumers and other sectors.

Answer 2

option b.)The benefit of saving jobs through protectionism in the U.S. is overshadowed by the greater costs to the economy, which include higher consumer prices and job losses in other industries.

Step-by-step explanation:

The benefit of saving some American jobs in specific industries protected from foreign competition is much less than the costs to the whole American economy. Protectionism, while aiming to save jobs in one sector, leads to higher prices for consumers and higher costs for other industries that rely on protected products as inputs. Consequently, jobs are lost in these other sectors due to decreased consumer spending and lost sales as other firms cannot compete with foreign producers who have lower costs. Furthermore, studies by economists at the Federal Reserve Bank of Dallas have shown that the cost of saving a job through protectionism can be prohibitively expensive for the economy.