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________ are the primary outside source of aid for companies affected by the uncertainty of a countertrade.

a) Trade unions
b) Barter houses
c) Industry associations
d) Swap centers
e) Satellite towns

User Lummo
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1 Answer

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Final answer:

Barter houses are the primary source of aid for companies engaging in countertrade, providing expertise and networks for trade without currency. When trade barriers are reduced, jobs and wages in export-focused industries typically rise. Government reskilling programs and labor market flexibility can prevent an increase in total unemployment due to trade changes.

Step-by-step explanation:

The primary outside source of aid for companies affected by the uncertainty of a countertrade are barter houses. Countertrade refers to the practice of exchanging goods or services for other goods or services rather than using currency. Barter houses specialize in these types of transactions and can provide expertise and a network for companies to engage in countertrade effectively, mitigating the risks and uncertainties involved.

In situations where trade barriers are reduced, as in the hypothetical scenario between Germany and the Czech Republic, trade typically leads to a reallocation of resources that benefits the production of export goods. We would expect an increase in jobs and wages in Germany's paint industry and the Czech Republic's alarm clock industry. Conversely, there might be a decrease in the alarm clock industry in Germany and the paint industry in the Czech Republic, due to increased competition from imports.

For there to be no increase in total unemployment in both countries following a change in trade patterns, the labor market must be flexible, and workers must be able to shift from declining industries to growing ones. Additionally, government policies like reskilling programs and adjustment assistance can help mitigate the adverse effects of trade on specific sectors.

User Kamaraju
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