Which of the following is a theory that can be used to justify limited government intervention to support the development of certain export-oriented industries?

QUESRION. Which of the following is a theory that can be used to justify limited government intervention to support the development of certain export-oriented industries?

A. Comparative advantage theory

B. Ricardo’s theory

C. New trade theory

D. Heckscher-Ohlin theory


ANSWER:

C. New trade theory