IBT 31

(International Trade Policy)

(Midterm Coverage)
INTERNATIONAL TRADE Policy
(midterm coverage)
 ◦ Adopted from the book of International Trade Theory & Policy
◦ by Paul R. Krugman
◦ Open Educational Resources
◦ Doing business globally can provide your business
◦ with exciting new opportunities for growth and profit.
◦ However, if global business were easy, everyone would do it,
◦ and there are significant risks and challenges associated with going international.
◦ You’ll need to employ people you can trust to supervise your global operations
◦ if you want your business to succeed internationally.
Lesson Objectives:
◦As a result of completing this learning module, students will be able to:
 To study the reasons for and effects of trade restrictions
 To study policies that regulate the flow of international payments and receipts
 To study the effects of these policies on a nation’s welfare and welfare of
other nations.
 To understand the international economic problems and offer suggestions for
their resolution.
WHAT IS AN INTERNATIONAL TRADE POLICY?

 TRADE POLICIES
 In general, define the standards, goals, and rules and regulations
of trade agreements between countries.
 Such policies are specific to each individual country, being determined by the
country's public officials.
 International trade policy is a policy related to trading across national boundaries.
 A government establishes an international trade policy that encompasses actions
they will take to protect the best interests of their citizens and companies.
◦ INTERNATIONAL TRADE ARE VERY IMPORTANT BUT THERE
ARE INHERENT RISKS TO BE MANAGED EFFECTIVELY TO
BENEFIT THE IMPORTING AND THE EXPORTING COUNTRIES.
◦ WHAT ARE GOVERNMENT POLICIES, ACTION
TO PROTECT THE INTEREST OF THE
IMPORTING AND THE EXPORTING COUNTRIES?
WHAT IS TAXATION IS
2) FISCAL ADEQUACY
3) ADMINISTRATIVE FEASIBILITY
EXERCISES
◦Use a separate sheet of paper to answer the following statement.
1. Do you think governments should consider human rights when granting preferential trading
rights to countries? Justify.
2. Whose interests should be the paramount concern of government trade policy-the interest of
the producers or those of the consumers? Justify.
3. Discuss the effects of the Tariff and Quotas on a nation’s welfare and welfare of other nations.
4. Discuss the purposes of the international trade policies?
5. Discuss at least one inherent risk in International Trade?
6. Discuss what is antidumping policies?
◦ Due for submission one week after received this learning materials.
 Title Lorem Ipsum

LOREM IPSUM DOLOR SIT AMET, NUNC VIVERRA IMPERDIET PELLENTESQUE HABITANT
CONSECTETUER ADIPISCING ENIM. FUSCE EST. VIVAMUS A MORBI TRISTIQUE SENECTUS ET
ELIT. TELLUS. NETUS.