The Main Problem with Using the Infant Industries Argument to Justify

question 109

Multiple Choice

The main problem with using the infant industries argument to justify protecting an industry from foreign competition is that:

• A) all industries will claim that they are infant industries in order to gain protection.
• B) the protected industry will become too efficient and drive out foreign competition.
• C) once in place, it is difficult to remove protection even as the industry matures.
• D) it causes the goods that are produced in the protected industry to have lower prices.
• E) this policy compromises national security if the infant industry produces military goods.

Understand the significance of reader-oriented viewpoints in sales messaging.

Identify the elements that contribute to a strong sales message.

Recognize the strategic use of visual and verbal elements in sales messages.

Understand the dynamics between the component parts of a sales message and its whole in achieving persuasiveness.

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Definitions:

Income for Operations

The earnings generated from a company's regular, core business activities before interest and taxes.

Net Sales

The revenue generated from sales activities after deducting returns, allowances, and discounts, representing the actual income earned by a business from its core operations.

Net Income

The total profit of a company after all revenues, costs, and expenses have been deducted, also known as the bottom line.

Acid-Test Ratio

A financial indicator that assesses the capacity of a business to settle its short-term obligations using its liquid assets.