Shoppers in Merrow can choose between locally made woollen blankets and blankets imported from abroad. Overseas producers use fewer resources to make each blanket than Merrow's producers do. What is the main potential benefit for consumers?
Consumers may pay lower prices because money spent on imported blankets stays in Merrow
Consumers may earn higher wages because imports create more blanket-making jobs in Merrow
Consumers may buy better blankets because local makers no longer face any rivals
Consumers may pay lower prices because imported blankets increase competition
85 exam-style questions on OCR GCSE Economics 4.1 Importance of international trade, covering 4.1.1 Why countries import and export and 4.1.2 Free trade agreements. Each one has a worked solution and a mark scheme showing where the marks go.