Anika Nicole, Wordsmith, PG In Journalism, New York
Answered Jun 20, 2018
"The losses of domestic consumers exceed the gains of domestic producers". This is definitely not true when a country allows for trade and becomes an exporter of the good. There are other two conditions which are also true. So let's take a look at those two points:
Domestic consumers are better off and domestic producers are worse off.
The economic well-being of a country increases when trade increases. This is because the profit of the winners surpasses the losses of the losers.
And trade can make everyone and everything better if winners agree to compensate the losers.