Question

Which of the following statements best indicates Samuelson's criticism of free trade?

a. Dynamic gains lead to a universally beneficial outcome for all countries.

b. Offshoring service jobs that were traditionally mobile will increase the market clearing wage rate.

c. Free trade has historically been beneficial only to third world countries.

d. By importing cheap goods from a poor country a rich country may not be able to produce a net gain if the dynamic effect of free trade is to lower real wage rates in the rich country.