Which of the following is not an argument in favor of inward-oriented strategies?
A)A newly developing economy needs protection from foreign competition.
B)Government restrictions are necessary to maximize the rate of economic growth.
C)Deteriorating prices of primary products in relation to manufactured goods expose developing countries to increasingly unfavorable terms of trade.
D)Developing countries should compete on the basis of comparative advantage.
E)Economic growth requires rapid industrialization and a shift away from primary products.

Question

Quizplus · Accepted Answer

Choice D argues in favor of outward-oriented strategies, where developing countries compete on the basis of their comparative advantage in the global market, rather than relying on inward-focused policies. The other choices all suggest reasons why inward-oriented policies may be beneficial for developing economies.

Which of the Following Is Not an Argument in Favor