When a Developing Country Relies on Import Substitution,_____

Multiple Choice

When a developing country relies on import substitution,_____.

A) it capitalizes on the gains from specialization and comparative advantage
B) it replaces high-cost domestic goods with low-cost foreign goods
C) domestic producers,shielded from foreign competition,usually become more efficient
D) other countries often retaliate with their own trade restrictions
E) it concentrates on producing only for the international market