To a certain extent, the perceptions that jobs in certain industries are likely to be eliminated because of trade liberalization are true. However, these perceptions fail to distinguish between the general level of employment in the economy and employment in specific industries. Two important points need to be made. First, because there is an additional transfer of resources from the rest of the U.S. economy to a particular industry in order to save specific jobs, there will be fewer jobs created in other sectors, and perhaps even some jobs eliminated. If such retraining and relocation could be done for less, a net economic gain would be realized relative to the cost of protection.
Protection also implies less trade, therefore less exports and fewer jobs in the trade sector.
Trade liberalization leads to increases in imports in certain sectors of the economy and increases in exports in other areas. Again, these increases in exports create jobs. U.S. employment in export-related activities is significant. Comparable figures are available for the agricultural sector. The first suggests that liberalized trade leads to a loss of domestic jobs.