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Directions: In the following questions, a statement of assertion (A) is followed by a statement of reason (R). Mark the correct choice as:
Assertion (A): Import substitution leads to unfavourable foreign trade.
Reason (R): Import substitution leads the goods to be produced in the country itself.
- a)Both assertion (A) and reason (R) are true and reason (R) is the correct explanation of assertion (A).
- b)Both assertion (A) and reason (R) are true but reason (R) is not the correct explanation of assertion (A).
- c)Assertion (A) is true but reason (R) is false.
- d)Assertion (A) is false but reason (R) is true.
Correct answer is option 'A'. Can you explain this answer?
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Directions: In the following questions, a statement of assertion (A) ...
Import Substitution (IS) generally refers to a policy that eliminates the importation of the commodity and allows for the production in the domestic market. The objective of this policy is to bring about structural changes in the economy.
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Directions: In the following questions, a statement of assertion (A) ...
Assertion and Reasoning
Assertion (A): Import substitution leads to unfavourable foreign trade.
Reason (R): Import substitution leads the goods to be produced in the country itself.
Explanation
Import substitution is a trade strategy that aims to reduce a country's dependence on imported goods by encouraging domestic production. In this strategy, the government imposes tariffs and other trade barriers to discourage imports and create a market for domestically produced goods.
Reason (R) is true because import substitution leads to the goods being produced in the country itself. This is the whole point of the strategy - to encourage domestic production and reduce dependence on imports.
However, assertion (A) is also true because import substitution can lead to unfavourable foreign trade. When a country imposes trade barriers, it can trigger a trade war, where other countries retaliate with their own trade barriers. This can lead to a reduction in exports and a loss of foreign market share for the country practicing import substitution. In addition, the domestic production of goods may not be as efficient or cost-effective as imports, leading to higher prices for consumers and reduced competitiveness in the global market.
Conclusion
Therefore, both assertion (A) and reasoning (R) are true, and reasoning (R) is the correct explanation of assertion (A).
Assertion (A): Import substitution leads to unfavourable foreign trade.
Reason (R): Import substitution leads the goods to be produced in the country itself.
Explanation
Import substitution is a trade strategy that aims to reduce a country's dependence on imported goods by encouraging domestic production. In this strategy, the government imposes tariffs and other trade barriers to discourage imports and create a market for domestically produced goods.
Reason (R) is true because import substitution leads to the goods being produced in the country itself. This is the whole point of the strategy - to encourage domestic production and reduce dependence on imports.
However, assertion (A) is also true because import substitution can lead to unfavourable foreign trade. When a country imposes trade barriers, it can trigger a trade war, where other countries retaliate with their own trade barriers. This can lead to a reduction in exports and a loss of foreign market share for the country practicing import substitution. In addition, the domestic production of goods may not be as efficient or cost-effective as imports, leading to higher prices for consumers and reduced competitiveness in the global market.
Conclusion
Therefore, both assertion (A) and reasoning (R) are true, and reasoning (R) is the correct explanation of assertion (A).
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Directions: In the following questions, a statement of assertion (A) is followed by a statement of reason (R). Mark the correct choice as:Assertion (A): Import substitution leads to unfavourable foreign trade.Reason (R): Import substitution leads the goods to be produced in the country itself.a)Both assertion (A) and reason (R) are true and reason (R) is the correct explanation of assertion (A).b)Both assertion (A) and reason (R) are true but reason (R) is not the correct explanation of assertion (A).c)Assertion (A) is true but reason (R) is false.d)Assertion (A) is false but reason (R) is true.Correct answer is option 'A'. Can you explain this answer?
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Directions: In the following questions, a statement of assertion (A) is followed by a statement of reason (R). Mark the correct choice as:Assertion (A): Import substitution leads to unfavourable foreign trade.Reason (R): Import substitution leads the goods to be produced in the country itself.a)Both assertion (A) and reason (R) are true and reason (R) is the correct explanation of assertion (A).b)Both assertion (A) and reason (R) are true but reason (R) is not the correct explanation of assertion (A).c)Assertion (A) is true but reason (R) is false.d)Assertion (A) is false but reason (R) is true.Correct answer is option 'A'. Can you explain this answer? for Commerce 2024 is part of Commerce preparation. The Question and answers have been prepared according to the Commerce exam syllabus. Information about Directions: In the following questions, a statement of assertion (A) is followed by a statement of reason (R). Mark the correct choice as:Assertion (A): Import substitution leads to unfavourable foreign trade.Reason (R): Import substitution leads the goods to be produced in the country itself.a)Both assertion (A) and reason (R) are true and reason (R) is the correct explanation of assertion (A).b)Both assertion (A) and reason (R) are true but reason (R) is not the correct explanation of assertion (A).c)Assertion (A) is true but reason (R) is false.d)Assertion (A) is false but reason (R) is true.Correct answer is option 'A'. Can you explain this answer? covers all topics & solutions for Commerce 2024 Exam. Find important definitions, questions, meanings, examples, exercises and tests below for Directions: In the following questions, a statement of assertion (A) is followed by a statement of reason (R). Mark the correct choice as:Assertion (A): Import substitution leads to unfavourable foreign trade.Reason (R): Import substitution leads the goods to be produced in the country itself.a)Both assertion (A) and reason (R) are true and reason (R) is the correct explanation of assertion (A).b)Both assertion (A) and reason (R) are true but reason (R) is not the correct explanation of assertion (A).c)Assertion (A) is true but reason (R) is false.d)Assertion (A) is false but reason (R) is true.Correct answer is option 'A'. Can you explain this answer?.
Directions: In the following questions, a statement of assertion (A) is followed by a statement of reason (R). Mark the correct choice as:Assertion (A): Import substitution leads to unfavourable foreign trade.Reason (R): Import substitution leads the goods to be produced in the country itself.a)Both assertion (A) and reason (R) are true and reason (R) is the correct explanation of assertion (A).b)Both assertion (A) and reason (R) are true but reason (R) is not the correct explanation of assertion (A).c)Assertion (A) is true but reason (R) is false.d)Assertion (A) is false but reason (R) is true.Correct answer is option 'A'. Can you explain this answer? for Commerce 2024 is part of Commerce preparation. The Question and answers have been prepared according to the Commerce exam syllabus. Information about Directions: In the following questions, a statement of assertion (A) is followed by a statement of reason (R). Mark the correct choice as:Assertion (A): Import substitution leads to unfavourable foreign trade.Reason (R): Import substitution leads the goods to be produced in the country itself.a)Both assertion (A) and reason (R) are true and reason (R) is the correct explanation of assertion (A).b)Both assertion (A) and reason (R) are true but reason (R) is not the correct explanation of assertion (A).c)Assertion (A) is true but reason (R) is false.d)Assertion (A) is false but reason (R) is true.Correct answer is option 'A'. Can you explain this answer? covers all topics & solutions for Commerce 2024 Exam. Find important definitions, questions, meanings, examples, exercises and tests below for Directions: In the following questions, a statement of assertion (A) is followed by a statement of reason (R). Mark the correct choice as:Assertion (A): Import substitution leads to unfavourable foreign trade.Reason (R): Import substitution leads the goods to be produced in the country itself.a)Both assertion (A) and reason (R) are true and reason (R) is the correct explanation of assertion (A).b)Both assertion (A) and reason (R) are true but reason (R) is not the correct explanation of assertion (A).c)Assertion (A) is true but reason (R) is false.d)Assertion (A) is false but reason (R) is true.Correct answer is option 'A'. Can you explain this answer?.
Solutions for Directions: In the following questions, a statement of assertion (A) is followed by a statement of reason (R). Mark the correct choice as:Assertion (A): Import substitution leads to unfavourable foreign trade.Reason (R): Import substitution leads the goods to be produced in the country itself.a)Both assertion (A) and reason (R) are true and reason (R) is the correct explanation of assertion (A).b)Both assertion (A) and reason (R) are true but reason (R) is not the correct explanation of assertion (A).c)Assertion (A) is true but reason (R) is false.d)Assertion (A) is false but reason (R) is true.Correct answer is option 'A'. Can you explain this answer? in English & in Hindi are available as part of our courses for Commerce.
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