18. What is an effect of "import dependency"?
A. Strengthens domestic agriculture
B. Leads to stable local prices
C. Makes the country vulnerable to global price changes
D. Encourages local innovation
Answer (1)
The answer is letter C. Makes the country vulnerable to global price changesIf a country depends too much on imported goods, it can be badly affected when prices rise globally. For example, when oil prices rise worldwide, the Philippines—being a major importer of fuel—experiences price hikes in transportation and goods.This makes it harder for Filipinos to afford basic needs. Import dependency also weakens local industries since consumers rely on foreign goods instead of buying or producing local products.
