Problem encountered-implementing infant industry tariff

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Reference no: EM13898606

A problem encountered when implementing an "infant industry" tariff is that:

a. Domestic consumers will purchase the foreign good regardless of the tariff

b. Political pressure may prevent the tariff's removal when the industry matures

c. Most industries require tariff protection when they are mature

d. Labor unions will capture the protective effect in higher wages

Reference no: EM13898606

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