Those who argue in favor of import protection generally give the impression that such restricted trade will?
Correct answer: C. provide benefits to the entire nation
- A. decrease the level of national security
- B. provide benefits to some particular industry
- C. provide benefits to the entire nation
- D. not yield welfare losses for the nation
Explanation
Protectionist arguments often present restricted trade as benefiting the entire nation through jobs, national security, or strategic industries. In standard welfare analysis, however, the gains are concentrated in protected industries while the nation may suffer efficiency and consumer losses.
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