answering questions below

answering questions below

After reviewing Chapter 9 ” Formulation of National Trade Policies”, discuss in your own words:

1. What is the difference between free trade and fair trade. Which side of the debate do you side with. Why?

2. What is the difference between tariff and non tariff trade barriers. What are some examples of non tariff trade barriers? How do they impact trade between nations?

3. What are Countervailing Duties? What is its purpose?

Solution Preview

FORMULATION OF NATIONAL TRADE POLICIES

Most people have always confused free trade and fair trade to have the same meaning, but the is quite a difference between them. fair trade imposes limitations on farmers and producers where they have to pay for wages and acquire proper working conditions. Free trade on the other hand frees both importers and exporters from paying wages, taxes and tariffs, (Jansen & Keck, 2004).

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