Which of the Following Is One of the Disadvantages of Export-Oriented

question 48

Multiple Choice

Which of the following is one of the disadvantages of export-oriented industrialization?

• A)It may be very difficult for developing nations to set up export industries because of the competition from the more established and efficient industries in developed nations.
• B)The expansion of manufactured exports is not limited by the growth of the domestic market.
• C)Domestic industries can grow accustomed to protection from foreign competition and have no incentive to become more efficient.
• D)It allows developing nations to take advantage of economies of scale.

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Definitions:

Memory Cards

Portable electronic storage devices used to store digital information, such as data for cameras, smartphones, and other gadgets.

Demand Curve

A graph showing the relationship between the price of a good and the quantity demanded by consumers, typically downward sloping.

Inferior Good

A type of good whose demand decreases as the income of consumers increases, inverse to the typical demand pattern.

Complementary Goods

Products or services that are used together, where an increase in demand for one leads to an increase in demand for the other.