According to the argument for protection, tariffs can shield new industries from import competition until they have grown strong and efficient enough to withstand the competition by foreign producers.

Question

Quizplus · Accepted Answer

The correct answer is the Infant industry argument. This argument suggests that new or "infant" industries in a country may initially be unable to compete with established foreign producers. Tariffs can protect these nascent industries from international competition until they become sufficiently developed and competitive.

According to the Argument for Protection, Tariffs Can Shield New