Which of the following is a main feature of protectionism?
A) high levels of risks for domestic industries
B) increased risk for local workers
C) compromise on national security
D) governmental intervention in trade
E) formation of trade blocs between nations
Answer: D
Explanation: When a government believes that free trade is not in the best interests of its national security, domestic industries, workforce, or consumers, it can intervene in a number of ways. Some of these methods are collectively known as protectionism because they seek to protect a specific industry or groups of workers.
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