Which of the following is true with regard to protectionism?
A)It increases the availability of raw materials for domestic industries.
B)It decreases the cost of products sold in the home market.
C)It increases the availability of products sold in the home market.
D)It can trigger retaliation from foreign governments, which reduces sales prospects for exports.

Question

Quizplus · Accepted Answer

Protectionism can trigger retaliatory measures from foreign governments, reducing the sales prospects for exports. This can lead to a decrease in international trade and hinder the growth of domestic industries in the long run. The other options, A, B and C are not true for protectionism, as it limits the availability and increases the cost of foreign products in the home market, and may not necessarily increase the availability of raw materials for domestic industries.

Which of the Following Is True with Regard to Protectionism