Trade Theory Paper Custom Essay

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Trade Theory Paper Custom Essay

Introduction Nations in the world often engage themselves in trade for the purposes of outsourcing which has often been viewed as being beneficial for those countries that have advanced industrially. However there exist some controversies that outsourcing is no longer beneficial. According to Samuelson (2004), outsourcing is no longer of benefit especially to those countries whose majority of workers are often sidelined and replaced by those from countries that are underdeveloped .On the other hand, some economists argue that loosing of jobs in America are temporarily. For example, in the short term employees may suffer whilst on the long run the labor markets are often forced to adjust in a manner that enhances the benefits of outsourcing (Irwin, 2004). International trade is of significance because; in the world today resources are often unevenly distributed between countries thus making countries to produce goods that others don’t have. This has triggered the increase in variety of goods and services e.g.


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