"New Industries Should Be Protected from Older Established Foreign Competitors

question 118

Multiple Choice

"New industries should be protected from older established foreign competitors until they are mature enough to compete on an equal basis." This argument for trade restrictions is called the __________ argument.

• A) low-foreign-wages
• B) foreign export-subsidies
• C) anti-dumping
• D) infant-industry

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Definitions:

Canadian Companies

Business entities registered, established, or operating under the laws and regulations of Canada.

Conglomerate Merger

Occurs when unrelated enterprises combine, such as Mobil Oil and Montgomery Ward.

Horizontal

Term often used in analysis to indicate a flat or level condition, such as a horizontal merger, which occurs between companies in the same industry.

Vertical Business Relationship

A business model where a company is involved in multiple stages of the production process, from raw material to final product, often through acquisitions or partnerships.