Does Free Trade Kill Jobs?
“As a first pass, the right answer to the question is that trade doesn’t reduce the overall number of jobs in the economy. It doesn’t increase that number, either. It’s largely a wash. Why? For one, monetary policy attempts to achieve full employment, regardless of the effect of trade on the labor market. So if trade puts a large number of people out of work, the Fed will presumably run the economy hot long enough to allow those workers to find new jobs.”