The (False) Idea That an Industry Should Be Protected Because

question 148

Multiple Choice

The (false) idea that an industry should be protected because of learning-by-doing until it is large enough to compete successfully in world markets is the ________ argument for protection.

• A) cheap foreign labor
• B) infant industry
• C) dumping
• D) comparative advantage

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Definitions:

Production Budget

A production budget estimates the number of units that must be produced during a specific period to meet sales demands and inventory requirements.

Required Production Units

A calculation to determine how many units of a product need to be produced within a certain timeframe to meet customer demand and inventory levels.

Finished Goods Units

Products that have completed the manufacturing process and are ready to be sold to customers.

Sales Budget

A detailed projection of anticipated sales, used for planning and managing resources in a business.