why has globalization led to wage cuts in some jobs in the united states? responses free trade increases competition among producers, providing an incentive to increase productivity and lower prices. free trade increases competition among producers, providing an incentive to increase productivity and lower prices. immigration increases domestic consumption, leading to more competition for goods and services. immigration increases domestic consumption, leading to more competition for goods and services. protectionist policies increase tariffs, which make goods and services more expensive. protectionist policies increase tariffs, which make goods and services more expensive. outsourcing increases the supply of workers, driving down the price of labor.