2. Textiles and apparel are an industry that many countries tend to protect. Underdeveloped countries, especially in Asia, try t
o expand their textile industries to achieve development and economic growth. Why would lowered trade barriers on textiles around the world be helpful to these countries? How might lowered trade barriers be harmful to them?
Answer: Lowered trade barriers in the textile industry is a very controversial topic.
Lowering trade barriers would favor trade and benefit purchasers in the mentioned countries.
However, lowering trade barriers could ruin small producers and could also create unemployment. The practice of Dumping can also be promoted by big countries to obtain benefits of disloyal competition.
Lowered trade barriers would probably mean the ability for foreign textile and apparel countries to enter. The countries that would except these foreign textile traders would benefit definitely because one, there would be more taxes to collect. Two, there would be more competition so the local textile companies have to work harder. Good for the people. With this money will circulate. The more the people spend on textile and apparel, the more taxes the country can get. The only downside is that while there is more competition, the local countries might not be able to compete with the foreign ones.
A concept obtained from William Blackstone's commentaries that was commonly referred to as "the law about the law"; it established the universal principles of right and justice. A document issued by the crown that established a relationship between the King and his subjects.
The NAFTA or also known as the North American Free Trade
Agreement, points out the agreement they have with the certain countries in
which has goals of having to eliminate barriers in the trade and investment.
They are ways of having to produce high productivity, an increase with wealth
and improving the resource allocations between three countries.
