Which of the Following Is True of Import Substitution

question 115

Multiple Choice

Which of the following is true of import substitution?

• A)The government encourages domestic producers to make products which can compete in the international market.
• B)The government takes steps to liberate imports and lift restrictions.
• C)The government takes steps to promote exports and subsidizes export-oriented production.
• D)The government insulates domestic producers by imposing strict tariffs and quotas.
• E)The government focuses on service-oriented imports rather than primary imports.

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