____ was a strategy for industrial development popular in Latin America in the 1950s 1 1960s for promoting domestic production by erecting high protective tariffs on imports of manufactured goods ?
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Answer: B. import substitution
Explanation
Import substitution was a Latin American policy promoting domestic manufacturing. Governments erected high protective tariffs on imported manufactured consumer goods. The strategy aimed to reduce foreign economic dependency through industrialization. Protectionist economic policies shield domestic industries from foreign market competition. Tariffs raise the price of imported goods to make local alternatives more attractive. Many developing nations experimented with this industrial policy during the mid-20th century.
Economic history shows that import substitution often led to inefficiencies and inflation. Developing nations eventually shifted toward export-led growth models for global competitiveness. Trade policies shape the long-term industrial capabilities of developing economies. Export led growth focuses on producing goods for international markets rather than tariffs. Dynamic hedging is a financial risk management strategy used in currency and stock trading. Countervailing duties are tariffs imposed to offset foreign government production subsidies.
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