When a country allows trade and becomes an importer of jet skis,
A)domestic producers of jet skis are worse off,domestic consumers of jet skis are better off,and the economic well-being of the country rises.
B)domestic producers of jet skis are worse off,domestic consumers of jet skis are better off,and the economic well-being of the country falls.
C)domestic producers of jet skis are better off,domestic consumers of jet skis are worse off,and the economic well-being of the country rises.
D)domestic producers of jet skis are better off,domestic consumers of jet skis are worse off,and the economic well-being of the country falls.

Question

Quizplus · Accepted Answer

When a country imports jet skis, domestic consumers benefit from lower prices and more variety, while domestic producers face increased competition. Overall, the country's economic well-being improves due to gains from trade.

When a Country Allows Trade and Becomes an Importer of Jet