Question

2 questions!! Double the points!!

Answer 1

1 is a and 2 is d (because they answer the question) not towards you

Answer 2

The correct answers are the following:

1. It eliminates unemployment in developed nations.
2. It encourages outsourcing.

The two questions refer to the same disadvantage of free trade in developed nations: loss of job positions in the developed country.

When trade barriers are eliminated and markets integrated there is free trade. This integration allows multinational corporations from developed countries to divide their production process in different stages and to locate each of them in a different location, seeking to reduce production costs (outsourcing). Many manufacturing activities are not performed in the company's home country anymore, therefore jobs are destroyed there and transferred to developing countries, where the price paid for the different factors of production (land, labor, capital) is usually cheaper.