Share This Article:

Economic Definition of import substitution. Defined.

Offline Version: PDF

Term import substitution Definition: A strategy for economic development for a country based on replacing imported goods with domestic production. This is often directed toward imported inputs used for domestic production. The goal of this policy is to encourage domestic production, which subsequently increases domestic income and consumption. A contrasting economic development is export promotion.

 

« import quota | imports »

Permalink: http://glossary.econguru.com/economic-term/import+substitution

Alphabetical Reference to Over 2,000 Economic Terms