Question

Suppose there is a policy debate over whether the United States should impose trade restrictions on imported ball bearings:________.
Domestic producers of ball bearings send a lobbyist to the U.S. government to request that the government impose trade restrictions on imports of ball bearings. The lobbyist claims that the U.S. ball-bearing industry is new and cannot currently compete with foreign firms. However, if trade restrictions were temporarily imposed on ball bearings, the domestic ball-bearing industry could mature and adjust and would eventually be able to compete in the world market.
Which of the following justifications is the lobbyist using to argue for the trade restriction on ball bearings?
A. Infant-industry argument
B. Saving-domestic-jobs argument
C. Using-protection-as-a-bargaining-chip argument
D. National-security argument
E. Unfair-competition argument

Answer 1

Answer:

Infant-industry argument

Explanation:

Here is a paraphrased version of the lobbyist's claim and it is from here that we get our answer.

"He claims that this industry in question is new and currently cannot compete with foreign industry".

What this tells us is that this industry in question is an infant industry. An infant industry is a new industry yet to be past it's developmental stage and which cannot be compete yet with other established industries.

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