Which of the following is true of import-substitution strategies?
A) They dominate the strategies of the developing world.
B) They focus on the production of goods not produced in developed countries.
C) They focus on the production of exportable goods.
D) These strategies lower the price of the domestically produced goods than the imported goods.
E) They generally require the removal of import barriers like tariffs or quotas.

Question

Quizplus · Accepted Answer

Import-substitution strategies were popular in the developing world in the mid-20th century. However, since the 1980s, many countries have shifted towards export-oriented strategies.

Answer: D 
 The aim of import-substitution strategies is to reduce reliance on foreign imports by producing domestically. This often includes producing goods that were previously imported. This, in turn, can lower the price of domestically produced goods compared to imports, making them more attractive to local consumers.

Therefore, the correct answer is D.

Which of the Following Is True of Import-Substitution Strategies