One Argument for Trade Restriction That Focuses on New Industries

question 162

Multiple Choice

One argument for trade restriction that focuses on new industries is that

• A) trade barriers must be used to protect all domestic workers.
• B) tariffs imposed to aid new industries should never be removed.
• C) new industries are usually capable of competing with established rivals.
• D) new industries need to be shielded in their early stages.
• E) trade barriers can be used to enhance national security.

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Definitions:

Long-Term Debt

Borrowings and financial obligations that are due after a period greater than one year, used as a source of long-term financing.

Current Market Value

The present price at which an asset or a service can be bought or sold in the marketplace.

Net Realizable Value

Net Realizable Value is the estimated selling price of goods, minus the estimated costs of completion and the costs necessary to make the sale.

Summary of Significant Accounting Policies

A section in financial statements outlining the major accounting policies and methods used by an organization, ensuring transparency and consistency.