How Did Import Substitution Compare with Export-Oriented Industrialization as a Real-World

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The Answer is A good answer will describe the central components of both processes.With import substitution industrialization,states restricted imports;raised tariff and nontariff barriers to encourage demand for domestic alternatives,and subsidized certain industries to fill this demand;and relaxed patents and intellectual property rights to tap into foreign innovations.With export-oriented industrialization,states sought out technologies and developed industries that focused specifically on export,capitalizing on a product's life cycle,and ways to make similar products on the international market cheaper.A good answer will also note that both of these strategies encountered problems ultimately addressed by the Washington Consensus.ISI resulted in large industries reliant on the state for support and unable to compete in a global marketplace,and state debt grew as a result of continued state funding.EOI also led to high levels of support for certain industries and tariff barriers.Although EOI was arguably a better industrialization policy than ISI,both strategies were targeted by the Washington Consensus (structural adjustment programs)-privatize state-run firms,end subsidies,reduce tariff barriers,shrink the size of the state,and welcome foreign investment.

How Did Import Substitution Compare with Export-Oriented Industrialization as a Real-World

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