Respuesta :
risk of retaliatory protectionist measures
stagnation in quality, efficiency, and innovation
stagnation in quality, efficiency, and innovation
Protectionism policies protect domestic industries against foreign competition. But it leads many negative impacts:
Stagnate in quality, efficiency and innovation.
Increases prices and product varities.
risk of retaliatory protectionist measures.
These are benefits):
Prohibition of subsidies to domestic industries.
Prevent small industries from closing down.