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At independence in 1957, Ghana had one of the strongest economies in Africa with a high annual domestic growth rate of about 6% as well as substantial foreign exchange reserves.
Since the early 1960s, there has been debate over the appropriate trade policy for developing countries (Ishrat & Rashid, 1996). The contention has been between free market advocates and trade protectionists. While the free market proponents support an outward-looking, export-oriented trade regime, the trade protectionists settle for an inward-looking system. They both, nevertheless, agree that industrialization should be the main economic development strategy...
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