Question
What are the advantages and
disadvantages of a country
striving to be economically
self-reliant?
Answer
Advantages:
1. Reduced dependence on imports
2. Increased domestic production and employment
3. Improved balance of trade
4. Greater control over the economy
Disadvantages:
1. Limited access to foreign goods and services
2. Higher costs of production due to lack of economies of scale
3. Reduced competition and innovation
4. Risk of isolationism and protectionism.