Which of the Following Is a Partially Valid Economic Argument

question 65

Multiple Choice

Which of the following is a partially valid economic argument for restricting free trade?

• A) Restrictions on foreign trade will increase employment and permanently reduce unemployment.
• B) Infant industries may need temporary protection to develop and gain productive efficiency.
• C) A nation needs to protect its national defense; hence, it should restrict some products that threaten an industry considered vital to its defense.
• D) Both b and c are correct.

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Definitions:

Determinant

A factor that decisively affects the nature or outcome of something.

Economic Sense

A term describing decisions or actions that are rational and based on sound economic principles, ensuring efficiency and cost-effectiveness in achieving desired outcomes.

Progressed

Having moved forward or developed in terms of growth, improvement, or achievement.

Nations

Nations are large groups of people who share common history, culture, language, or ethnic origin, often occupying a particular territory or state.