The infant- industry argument is based on the idea of
A) tariff revenue.
B) learning- by- doing.
C) absolute productivity advantage.
D) global monopoly.

Question

Quizplus · Accepted Answer

The infant-industry argument suggests that new industries in developing countries need protection from international competition until they become mature and competitive. This protection is often provided in the form of tariffs or subsidies. The argument is based on the idea of "learning-by-doing," where industries initially lack efficiency and scale but improve over time through experience and investment in technology and skills.

The Infant- Industry Argument Is Based on the Idea of