All but One of the Following Statements Is Used to Justify

question 161

Multiple Choice

All but one of the following statements is used to justify protectionism.Which statement is not used to justify protectionism?

• A)Free trade leads to higher prices for imported goods.
• B)Free trade reduces employment by driving domestic firms out of business.
• C)A country should not rely on other countries for goods that are critical to its national defense.
• D)Trade restrictions are necessary to protect new firms until they can gain experience and become more productive.