History/Social Studies H.W. HELP!!?
Here’s my assignment………………..
Does protectionism, particularly tariffs and quotas, help or hinder international trade? Protectionism policies are put in place to protect a nation’s domestic economy. Provide examples to help support your answer. You need to provide three examples for full credit.
Topics to help support your answer:
•NAFTA(North American Free Trade Agreement)
•Embargo of Cuban goods (sugar, cigars)
•World Trade Organization
•General Agreement on Tariffs and Trade (GATT)
I have noooo idea what to do?? Can someone explain to me this stuff???? and can you give me some topics to write?? please!!
Imagine a foreign sweatshop producing dirt cheap chairs and then shipping them to America. Well American chair makers would have a hard time competing. So quota would limit the amount of cheap chairs coming into the country, helping American industry. Plus tariffs are fees tact on by the American government to the the price of the cheap chairs, therefor helping the government and again helping American chair makers because the prices of their competition is higher. This can be see either as good or bad. The good is it helps domestic industry and government. The bad is it hurts the consumer who ends up loosing out because of government controlled factors on the pricing. The flip-side to the later argument is that if numerous cheap foreign goods are sold, there is less money circulating in the economy, BUT consumers would be able to save more and perhaps use the spare money on others items. There are countless avenues you can explore with this question.