What is the primary purpose of policies that limit imports?

The primary purpose of policies that limit imports is indeed to protect domestic industries from foreign competition. These policies, often in the form of tariffs, quotas, or other trade restrictions, are designed to shield local businesses from being overwhelmed by cheaper or more competitively priced goods from abroad. By limiting the availability of imports, these policies aim to enhance the viability and sustainability of domestic industries, allowing them to maintain market share, preserve jobs, and invest in local production.

This approach is often justified by the belief that a strong domestic industry is crucial for economic stability and job creation. Additionally, proponents argue that such protection can help industries grow and eventually compete on a global scale.

In contrast, increasing competition among domestic producers, lowering prices on imported goods, and strengthening international relations do not directly capture the fundamental intent behind import limitations, which focuses primarily on safeguarding local industries.