Arguments made against free trade include all of the following except
A) national defense considerations justify producing certain goods domestically whether the country has a comparative advantage in their production or not.
B) infant industries should be protected from free trade so that they may have time to develop and compete on an even basis with older,more established foreign industries.
C) dumping is an unfair trade practice that puts domestic producers of substitute goods at a disadvantage that they should be protected against.
D) free trade is inflationary and should be restricted in the domestic interest.
E) if foreign governments subsidize their exports,foreign firms that export are given an unfair advantage that domestic producers should be protected against.

Question

Quizplus · Accepted Answer

All of the other options are arguments made against free trade. D is the only option that is not an argument against free trade. Instead, it is a concern that some people have about the potential consequences of free trade. However, many economists argue that free trade is not necessarily inflationary and can actually help to control inflation by increasing competition and reducing costs for consumers.

Arguments Made Against Free Trade Include All of the Following