General Equilibrium Considerations Lead to the Realization That Import-Substituting Policies

question 27

Multiple Choice

General equilibrium considerations lead to the realization that import-substituting policies have the effect of

• A) discouraging exports.
• B) encouraging exports.
• C) encouraging an efficient use of a country's resources.
• D) generating large tariff revenues for the government.
• E) creating competitive manufacturing sectors.

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Definitions:

Motor Vehicles

Vehicles powered by an internal combustion engine or electric motor and are designed for transportation on roads.

Safety Investigations

Inquiries conducted to examine accidents or incidents with a view to improving safety and preventing future occurrences.

Mail-Order Sales

The buying and selling of goods or services through the mail, where customers place orders by post or online.

1975 Mail-Order Rule

A regulation that requires companies to ship goods ordered by mail, phone, or online, within a promised timeframe or notify customers of delays.