4.2+Free+trade+and+Protectionism

=4.2 Free trade and Protectionism=


 * ===__Definition of free trade__===


 * ===__Types of protectionism__===
 * Tariffs
 * Quotas
 * Subsidies
 * Voluntary Export Restraints – VERs
 * Administrative obstacles
 * Health and safety standards
 * Environmental standards
 * Shipping Costs Start to Crimp Globalization, [[file:Shipping Costs Start to Crimp Globalization.doc]]
 * Is Trade the Problem? [[file:Is Trade the Problem.doc]]
 * Business Pleads for faith in free markets [[file:Business pleads for faith in free markets.doc]]


 * ===__Arguments for protectionism__===
 * Infant industry argument
 * Efforts of a developing country to diversify
 * Protection of employment
 * Sources of government revenue
 * Strategic argument
 * Means to overcome a balance of payments disequilibrium
 * Anti-dumping
 * The Great Illusion, [[file:The Great Illusion.doc]]


 * ===__Arguments against protectionism__===
 * Inefficiency of resource allocation
 * Costs of long-run reliance on protectionist methods
 * Increased prices of goods and services to consumers
 * The cost effect of protected imports on export competitiveness