A strategy of restricting imports and substituting domestic production of those goods is called
A) trade restraint strategy.
B) import substitution strategy.
C) trade blockage strategy.
D) export substitution strategy.

Question

Quizplus · Accepted Answer

The strategy of restricting imports and promoting domestic production of those goods is called an import substitution strategy. This is done to reduce reliance on imported goods and to develop a self-sufficient economy by promoting domestic production. This strategy involves the implementation of tariffs, quotas, and other trade barriers to protect domestic industries and encourage the production of substitute goods.

A Strategy of Restricting Imports and Substituting Domestic Production of Those