Which of the following statements most likely undermines the infant-industry argument?
A) Total unit costs decrease through economies of scale.
B) High tariffs to prevent foreign competition increase government revenues in the protected country.
C) Domestic entrepreneurs need assistance to compete in industries with high entry barriers.
D) Experience of operating over time triggers higher productivity and global competitiveness.
Answer: B) High tariffs to prevent foreign competition increase government revenues in the protected country.
If the answers is incorrect or not given, you can answer the above question in the comment box. If the answers is incorrect or not given, you can answer the above question in the comment box.