Your roommate Hansen argues that American producers cannot compete with foreign producers because wages are lower in foreign countries than in the United States. Hansen a. is advancing the anti-dumping argument for protectionism. b. is correct in arguing that the high wages of U.S. workers make it impossible to compete with workers in low-wage countries. c. is incorrect. Free trade raises living standards by increasing economic efficiency. d. is right in asserting the need to protect high wages if the United States wishes to maintain its high standard of living.
