What are the possible advantages of ISI strategies (explain)?

1. Read the article “Import Substitution and Industrialization in Latin America: Experience and Expectations,” by Werner Baer. This is on the course Canvas web site. Baer examines the history of import substitution industrialization (ISI) in Latin America. First summarize the history of ISI in Latin America. What are the possible advantages of ISI strategies (explain)? Describe the problems that ISI strategies may have. Is there a future for ISI strategies (explain)?

Short essay (6 points)

2. What was the Asian crisis of the 1990s? Where did the crisis start and what caused the crisis? How did orthodox liberals, interventionist liberals, and historical structuralists propose to reform the international financial architecture after the 1990s Asian financial crisis?

Research (4 points):

3. An oil price war started by Saudi Arabia (a leader of OPEC) has lead to very low oil prices very recently. Look online and find news about the actions by the Saudis, the Russians and also the U.S. What were the goals of the price war? Is the price war over (explain)?

Extra Credit (4 points):

Define the following development strategies:

foreign aid

socialism

export-led growth