The country of Theta restricts the activities of foreign insurance companies in order to give Theta's insurance industry a chance to grow and develop.Theta's actions are an example of the ________ argument in favor of protectionism.

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Theta's actions are aimed at promoting the growth and development of its domestic insurance industry. This is in line with the infant-industry argument, which argues that young and emerging industries require protection from foreign competition in order to develop and become globally competitive in the long term.

The Country of Theta Restricts the Activities of Foreign Insurance