The long-run social benefits of infant industry protection are more likely to be realized if

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If investors believe that tariff barriers are transitory, they are more likely to invest in the infant industry to take advantage of the temporary protection, which can lead to the growth and development of the industry. As the industry becomes more competitive, the need for protection may decrease and eventually be phased out, resulting in long-run social benefits. Permanent tariff barriers may discourage foreign investment and lead to inefficiencies, while increasing tariff barriers over time or replacing them with quotas may lead to retaliation by trading partners and harm the overall economy.

The Long-Run Social Benefits of Infant Industry Protection Are More