Which theory proposes that governments can help local firms earn economic profits by competing against foreign rivals?

Trade Regulations And Industrial Policies MCQs for PPSC, FPSC, NTS, and Pakistan government job tests. Select an option below, then read the explanation.

Trade Regulations And Industrial Policies

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Subject
Trade Regulations And Industrial Policieseconomics-mcqs › trade-regulations-and-industrial-policies
Published
27 May 2019
Last updated
28 May 2026

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Explanation

The strategic trade policy theory argues that governments can support domestic companies in gaining economic profits by providing advantages when competing with international firms, unlike international dumping, countervailing duties, or export promotion policies.

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