Question

"Block Imports" Save Jobs for Some Americans, Lose a Roughly Equal Number of Jobs for Other Americans, and Also Pay High Prices. Discuss this statement within the context of protectionism in no less than 10 sentences.

Answer 1

Protectionism that's accomplished throughout the tariffs may produce short term gains but in the long run, there are outcomes for the economy. Tariffs increase the price of things, so the demand produced great climbs. So jobs have been created within this sector. It's a positive effect of tariffs.

But side by side, businesses using imported material are all affected. They reduce output levels and reduce employments. Further, tariffs increase price level, and the user reduces their requirements for services and products. Additionally, it reduces employment and output. Thus, protectionism doesn't produce favorable for the economy over the long run.

Trump's government strategy to impose tariffs on imports won't be valuable in the long run. It'll reduce the wellbeing of individuals as they happen to be penalized in the kind of price level.