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:

Neurological Disorder

A disorder of the nervous system that can affect brain function, causing symptoms such as paralysis, muscle weakness, poor coordination, and loss of sensation.

Involuntary Writhing

Uncontrolled, often painful movements or contortions of the body, typically resulting from neurological or muscular disorders.

Antidepressant

A medication designed to alleviate symptoms of depression by adjusting chemical imbalances of neurotransmitters in the brain.

Prozac

A brand name for fluoxetine, an antidepressant medication used in the treatment of depression, obsessive-compulsive disorder, and several other mental health conditions.