Answer :
Answer:
An economy moves from autarky to free international trade. In the import sector consumer surplus rises, producer surplus falls, and the economy as a whole gains.
Explanation:
Free international trade means that the strict trade regulations are no more in place. free international trade allows producers to to import and export without any restrictions and barriers. It expands their market globally and they can reach out to more customers.
It enable the economy to grow because the exchange with different countries increases considerably as compared to a restricted trade scenario.
An economy moves from autarky to free international trade. In the import sector consumer surplus rises, producer surplus falls, and the economy as a whole gains.
What is an Economy?
An economy is defined as the careful management of scares resources. It is a social domain that encourages the practice associated with the production, use and management of scares resources.
In a case case where an economy moves from one point to an international trade level, the consumer surplus rises, the producer surplus falls and the economy gains generally.
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