Principles of Microeconomics / Unit 16 MIC 1516 short lesson, about 20 seconds
Does Protection Create Jobs?
Captions available
The idea
Protection reshuffles jobs to protected industries; it does not add jobs. Consumers spend less elsewhere, and firms using the protected input lose sales abroad. The cost per job saved runs far above the wage.
In practice
Ten million in higher prices for fifty jobs: two hundred thousand each.
Where people slip
Jobs have not fallen across decades of rising trade; unemployment is the business cycle's.
Your place on the trail
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