Import-substitution development policies have been especially effective in promoting employment in newly industrializing sectors because these policies discourage the import of foreign capital goods.
Indicate whether the statement is true or false
Question 2 - Patterns of interregional trade are primarily determined by ________ rather than ________ because factors of production are generally ________.
A) external economies; natural resources; mobile
B) internal economies; external economies; mobile
C) external economies; population; immobile
D) internal economies; population; immobile
E) population; external economies; immobile
Question 3 - According to the Rybczynski theorem, at constant world prices, if a country experiences a gain in its capital stock it will produce
A) more of the capital intensive good and less of the labor intensive good.
B) more of both goods.
C) less of the capital intensive good and more of the labor intensive good.
D) less of both goods.
Question 4 - A sudden stop will be easier to navigate if the country borrows internationally in foreign currencies and lend locally in its domestic currency.
Indicate whether the statement is true or false
Quick Reply
