Question 16
International TradeThe infant industry argument for protection in developing countries recognizes the need to employ tariffs to protect
- A.industries producing baby food and clothing
- B.industries owned by infants
- C.newly set-up industries
- D.industries in which infants will be taken care of
- E.industries that behave like infants.
Show the answer and explanation
Answer: C (newly set-up industries)
Explanation
'Infant industries' are new local industries that need temporary protection until they can compete.