The Infant-Industry Argument Is Often Criticized Because

question 125

Multiple Choice

The infant-industry argument is often criticized because

• A) it is difficult to determine which industry merits protection.
• B) it reduces government revenues in the short term.
• C) it reduces the employment rate.
• D) it reduces labor productivity in the short term.

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Definitions:

Glass-Steagall Act

A law enacted in 1933 to separate commercial banking from investment banking, intended to reduce conflicts of interest and prevent bank failures.