In the case of national defense protection,________ is a better policy than protection.
A)a production subsidy combined with free trade
B)an income tax
C)direct government provision of infrastructure
D)None of the above is better

Question

Quizplus · Accepted Answer

Protectionism in national defense can harm the economy by limiting competition, driving up prices, and reducing efficiency. Instead, a policy that encourages domestic production through subsidies and fosters free trade with other countries can ensure a reliable supply of goods while also promoting economic growth. With production subsidies, domestic producers can continue to manufacture critical goods while keeping prices competitive. Free trade also allows for access to a diverse range of goods from other countries, reducing reliance on any one source. This combination can provide a long-term, sustainable solution to national defense protection.

In the Case of National Defense Protection,________ Is a Better