Which of the following justifications is the lobbyist using to argue for the trade restriction on steel rods? Low foreign wages argument Saving domestic jobs argument Foreign export subsidies argument Infant industry argument National defense argument

Respuesta :

Answer: Foreign Export Subsides Argument

Explanation:

Export Subsidies are a method of encouraging companies to try to export by Governments by giving them subsidies for the goods they exported. This therefore makes the good they export cheaper because the subsidies the Producers/ exporters receive from the Government can offset their costs so they will be able to charge lower prices without making losses.

The Foreign Export Subsides Argument is that Domestic producers in the countries being exported to should not have to be competing with foreign companies that have export subsidies because it is unfair competition.

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