The idea behind the traditional industrial policy of import substitution is:

Question

Quizplus · Accepted Answer

Import substitution aims to protect domestic industries from foreign competition and create self-sufficiency. This is done by imposing barriers on imports, which allows for the growth and development of domestic industries that can produce goods previously imported from foreign markets. The policy also seeks to provide a period of learning and growth for domestic industries before they can become competitive in global markets, thus promoting the development of infant industries. Ultimately, the goal of import substitution is to build up home industries to compete with others in the world, while also creating employment opportunities and reducing dependence on foreign goods. Therefore, all the statements given in choices A, B, and C are true explanations of the traditional industrial policy of import substitution.

The Idea Behind the Traditional Industrial Policy of Import Substitution