
Three Micro Economics Multiple choice Questions. 10 pts to best answer. Please help?
1. The infant industry argument asserts that a new domestic industry needs protection because
A. its exports will be subject to foreign tariffs.
B. it has higher costs than established foreign competitors.
C. a key input can only be obtained from foreign sources.
D. it is especially vulnerable to the threat of embargo.
2. “More productive workers receive higher wages than less productive workers.” This observation is a major flaw in which of the following arguements for protectionism?
A. The infant industry agreement.
B. The national security argument.
C. The employment argument
D. The cheap foreign labor argument.
3. Suppose a Swiss investor purchases a golf course in the U.S. This transaction would be recorded in the
A. current account
B. capital account.
C. unilateral transfers.
D. merchandise trade balence
q1 ,,,all these factors are there …but after break even …it will expand and will give benefits ….become assets….q2 …these are there….but with training /on job internships makes it viable ….and needs less Specialist…q3 merchandise trade balence
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