Does Import-Substitution Industrialization (ISI) Represent a More Likely Strategy of Economic

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The Answer is Import-substitution industrialization (ISI) is a strategy of economic development that involves promoting domestic industries by reducing reliance on imported goods and fostering the growth of domestic manufacturing. This strategy is more likely to be pursued by developing nations rather than developed nations.

Developing nations often have a comparative advantage in the production of raw materials and agricultural products, but they may lack the infrastructure and technology necessary for industrialization. By implementing ISI, these countries can protect and nurture their domestic industries, create employment opportunities, and reduce their dependence on foreign imports. Additionally, ISI can help developing nations to diversify their economies and reduce their vulnerability to fluctuations in global commodity prices.

On the other hand, developed nations typically have well-established industrial sectors and a high level of technological advancement. These countries are more likely to pursue a strategy of export-oriented industrialization, focusing on producing high-value goods for export to international markets. This approach allows developed nations to take advantage of their technological expertise and access to global markets.

In conclusion, import-substitution industrialization is a more likely strategy of economic development for developing nations, as it can help them to build a strong domestic industrial base and reduce their reliance on foreign imports. Developed nations, on the other hand, are more likely to pursue export-oriented industrialization to capitalize on their technological capabilities and access to global markets.

Does Import-Substitution Industrialization (ISI) Represent a More Likely Strategy of Economic

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Does Import-Substitution Industrialization (ISI) Represent a More Likely Strategy of Economic

Essay

Correct Answer:Answered by ExamLex AIShow Answer

Correct Answer:
Answered by ExamLex AI