Multiple Choice
Which is a valid counterargument to the infant industry argument for protective tariffs?
A) Protective tariffs result in too many benefits for domestic firms that export goods and services.
B) It is difficult to determine which infant industries will become mature industries with a comparative advantage.
C) The objective would be better achieved through strategic trade policy.
D) The objective would be better achieved by import quotas and nontariff barriers.
Correct Answer:
Verified
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