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Economics A Level (DONEEEEEEE)

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Pregunta:

Why may Governments impose Trade Barriers?

Autor: eric_galvao



Respuesta:

-Protect Jobs: Risk that Job Losses become too Great if Domestic Firms are Outcompeted by Foreign Firms -Protect Infant Industries: They are just starting out in Developing Economies, and may not have the Resources and Experience to stand up to Foreign Competition -Ban Certain Goods, as due to Security or Culture -Avoiding Overdependence, as it can lead to Economic Instability -Protecting against Dumping - Firms sell Goods abroad at a Price that's Below Production of Costs to force Domestic Firms into Bankruptcy -Correcting Imbalances in the Balance of Payments


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