Proponents of ____ maintain that government should enact policies that encourage the development of emerging "sunrise" industries.
A) product life cycle policy
B) static comparative advantage policy
C) intra-industry trade policy
D) industrial policy

Question

Quizplus · Accepted Answer

Industrial policy is defined as government intervention aimed at promoting the development of certain industries or sectors deemed important for national economic growth and development. It involves a variety of policy measures such as subsidies, tax incentives, and protectionist policies to support emerging industries, particularly those that may not be able to compete with established industries. Therefore, proponents of industrial policy would advocate for policies that encourage the development of emerging "sunrise" industries. The other policy options listed (product life cycle policy, static comparative advantage policy, and intra-industry trade policy) do not necessarily focus specifically on promoting the development of emerging industries.

Proponents of ____ Maintain That Government Should Enact Policies That