Question

ABC Corporation argues that it needs a tariff on bread baskets so that it can grow large enough to compete with foreign producers. This is an argument for ________.

A. an infant industry.
B. job protection.
C. national security.
D. environmental standards.
E. protection from dumping.

Answer 1

Infant industry, notice how it said about protecting and waiting for it to grow large.

Step-by-step explanation:

Answer 2

The correct answer is letter "A": an infant industry.

Step-by-step explanation:

The infant-industry theory proposes that domestic industries, moreover those that have just started operations, need protection from the government so they can compete with foreign rivals. The protections would come in the form of tariffs and quotas passed to imports. It is one of the approaches that justify protectionism in the trade between nations but do not consider the potential effects it carries which end up in trade war.