Import Substitution Is the Process of Developing Local Industries to Manufacture

question 102

Multiple Choice

Import substitution is the process of developing local industries to manufacture goods to

• A) replace imports.
• B) import.
• C) replace exports.
• D) export.

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Definitions:

Labor Demand Curve

A graph depicting the quantity of labor that employers are willing to hire at various wage levels, typically showing an inverse relationship between wages and the quantity of labor demanded.

Monopolistic Seller

A monopolistic seller refers to a market participant that has exclusive control over a market for a particular product or service, facing no competition.

Purely Competitive Seller

A seller in a market where there are many sellers and buyers, each selling a homogeneous product, and no one can influence the market price.

Marginal Revenue Product

The additional revenue generated from employing one more unit of a resource, used to make employment decisions.