Answer to Question #76470 in Macroeconomics for June

Question

What workers in the us benefit the most from freer trade with iran

Answer 1

The major export good for the Iran is oil. Free trade between the countries means low tariff on imports and exports. This would give US oil importers a competitive advantage in pricing and more profits. It also means better salaries and wages for the workers. On the other hand, Iran has a struggling economic status. As mentioned above, their main export is oil. This means that the free trade would offers US exporters new market opportunities with better prices and profits, mostly the clothing industry which exports a lot of finished clothing products. Workers in the clothing industry would benefit from the free trade between the two countries.