What Impact Does Import Substitution Have on the Balance of Payments

question 44

Multiple Choice

What impact does import substitution have on the balance of payments?

• A) Negative, balance of payments can deteriorate.
• B) Positive, balance of payments can improve.
• C) None, balance of payments does not change.
• D) Unpredictable, impact depends on the circumstances and imports.

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Definitions:

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