Supporters of ISI believed that prices of _____ were _____ relative to the price of manufactures over the long run.
A) commodities, increasing
B) commodities, decreasing
C) commodities, remaining the same
D) services, increasing
E) services, decreasing

Question

Quizplus · Accepted Answer

Supporters of Import Substitution Industrialization (ISI) believed that the prices of commodities were decreasing relative to the price of manufactured goods over the long run, a concept known as the Prebisch-Singer hypothesis. This hypothesis suggests that countries relying on commodity exports would experience declining terms of trade over time.

Supporters of ISI Believed That Prices of _____ Were _____

Supporters of ISI Believed That Prices of _ Were _