zlacker

Well, I guess who decides the line between basic industrialization and import substitution? The bondholders?

>>selimt+(OP)
Import substitution is not an alternative to basic industrialization. It's a policy advocated as a means to achieve basic industrialization. I regret that my comment was so misleading.

The usual alternative to import substitution industrialization is export-focused industrialization. Argentina and Brazil exemplify the former; Japan, Taiwan, South Korea, Hong Kong, and now the PRC exemplify the latter. The line between them is whether the country's manufactures are widely exported.