Why Does the Infant Industry Argument for Protectionism Suggest That

question 85

Multiple Choice

Why does the infant industry argument for protectionism suggest that an industry must be protected in the early stages of its development?

• A)so that it will not be subjected to a takeover from a foreign competitor
• B)so that there will be adequate supplies of crucial resources in case they are needed for national defence
• C)so that firms will be protected from subsidized foreign competition.
• D)so that domestic producers can attain the economies of scale to allow them to compete in world markets.

---

Definitions:

Subtypes

Variants or specific categories within a broader classification, often used in discussing different strains of viruses or specific forms of receptors in biology.

Unidirectional Stress

Stress or force that is applied in only one direction, particularly in the context of materials science or mechanical engineering.

Dense Regular

Dense regular connective tissue is composed of closely packed bundles of collagen fibers, providing great strength in one direction.