Which of the following is the most accurate statement?
A)The one argument for restricting trade that almost all economists accept as valid is the infant-industry argument.
B)Almost all economists insist that it is never appropriate to protect "key" industries,even when there are legitimate concerns about national security.
C)The idea that one nation might want to threaten another nation with a trade restriction is associated with the protection-as-a-bargaining-chip argument for restricting trade.
D)The protection-as-a-bargaining-chip argument for restricting trade is also known as the infant-industry argument.

Question

Quizplus · Accepted Answer

The statement accurately describes the association between the protection-as-a-bargaining-chip argument and the threat of trade restrictions, which is not the case with the other options. Option A is not entirely accurate as there are economists who do not accept the infant-industry argument. Option B is also not accurate as some economists may advocate for the protection of key industries in certain circumstances. Option D is incorrect as the protection-as-a-bargaining-chip argument and infant-industry argument are distinct.

Which of the Following Is the Most Accurate Statement