All documents from essays.org are for research assistance purpose only. Do not present the material as your own work!
bookmark & share the essay...
In the case of international commercial policies, explain the effectiveness of a tariff, subsidies and import quota on a small country
The essay discusses on the effectiveness of tariffs, subsidies and import quota on a small country in reflect to international commercial policies.
|language || ||english
|wordcount || ||6828 (cca 19 pages)
|contextual quality || ||N/A
|language level || ||N/A
|price || ||free
|sources || ||5
Table of contents
Import Quotas 16
Preview of the essay: In the case of international commercial policies, explain the effectiveness of a tariff, subsidies and import quota on a small country
In the case of international commercial policies, explain the effectiveness of a tariff, subsidies and import quota on a small country 1.0 Tariffs For the purposes of this paper, we will look at the effects of tariffs as trade barriers on a small economy. We assume that a small economy is that of a developing country, thus it is a country that produces few manufactured products and is heavily involved in agriculture or raw material extraction. The economy also may have a weaker currency and a negative BOP as the costs of specialized manufactured imports exceeds the receipts from exports. We shall analyze the effectiveness of tariffs and give the pros and cons of thus trade barrier. Local production Import tariffs may have a negative effect on local production. This is because tariffs do not stimulate local production. Though they make imports more expensive, the market will still be open to imports. With some goods like luxury commodities, tariffs may only serve to increase the demand for a good as more people seek to be identified with them. Thus BOP may be ...
... productivity via international specialization. The entire world, and indeed every country, would generally be better off if flows are unobstructed.
However, while the world, nations, and even most regions would enjoy higher living standards as a result of the freedom of trade and factor flows, some individuals and groups would be worse off. Thus these groups are often protected.
The economy will likely suffer if the government of a country accedes to protective pressures, regardless of the specific nature of the argument and regardless of whether the interested group represents the private or governmental sector. Some of these policies have been argued out to help a small economy develop through their implementation.
Essay is in categories
The essay is compact and substantive. This is a recommended reading
for economics students.