International Trade History (Scenario)
The history of international trade is the subject of a report presented by Patrick Hinojosa to his international business class. Patrick addressed how the GATT impacted world trade, and how trade barriers have gradually disappeared. He described the protectionist policies implemented by Latin America during the 1950s. Patrick wrapped up his report by citing the rapid economic growth of Singapore, Hong Kong, and Taiwan during the 1970s and the post-World War II Japanese miracle.
-Which of the following is Patrick most likely to cite as the policy implemented in Latin America that was intended to spur industrialization and economic growth?

Question

Quizplus · Accepted Answer

Patrick is discussing protectionist policies implemented by Latin America during the 1950s and the option that best fits this description is import substitution. Import substitution is a policy that seeks to promote economic development by encouraging domestic production of goods that were previously imported. It involves government intervention and protectionist measures to promote domestic industries and reduce reliance on foreign products.