what-is-a-potential-downside-of-the-government-using-the-infant-industry-argumen

Question

What is a potential downside of the government using the infant industry argument to protect new industries?

Accepted Answer

The government may end up picking winners and losers, which is not its role.

Answer

Protecting new industries guarantees their long-term success.

Answer

Government intervention always leads to increased competition.

Answer

New industries will always succeed without government intervention.