Preview

Daniel Griswold

Satisfactory Essays
Open Document
Open Document
477 Words
Grammar
Grammar
Plagiarism
Plagiarism
Writing
Writing
Score
Score
Daniel Griswold
Question 1
Daniel Griswold begins, that every consumer profits from free trade. Due to him positive effects of an overall competition are: a vast variety of products and services, fair prices and best quality. He points out that everything is available everywhere, even fresh flowers in winter. Moreover the income rises because of the variety entailed by imports. In addition he claims that cheaper products help to fill the gap between poor and rich.
Question 2
From Helena Norberg-Hodge`s point of view, money from the taxpayer is wasted on infrastructure. This infrastructure is only built to make the transportation of goods cheaper and faster. In addition she claims that due to that fact small businesses, like family hold shops, have a …show more content…
Due to Globalization small businesses have a very hard fight against the global players. Not only because of the intervention of the state, but also because they don’t have the economic power to compete with multinational companies. So I think the argument is not false, that subventions for roads or communication facilities help these multinational firms, but on the other hand they are an indicator for a developing world. The fact, that “free trade” harms small businesses as well may be true, but following to the model of “free trade” and the advantages, it is at the moment the best model for business operations. Due to that, living standards in the whole world are rising and the technological development is growing fast. Daniel Griswold argues that “free trade” helps to produce better products, offers a greater variety of products and services and helps to make products better. From my point of view this is definitely true. So I also think that trade hurdles, as high taxes, doesn’t make sense for a developing world. It is important that trade is “free” to be most effective. From my perspective even small businesses can profit from “free trade”. If someone produces a good that is worth buying, people will buy it. So I think trough techniques as the internet it is now and in future possible to sell it all over the
Continue Reading
View Writing Issues

You May Also Find These Documents Helpful

  • Good Essays

    Rhetorical Analysis Of We Are What We Trade By David Sirota
    • 667 Words
    • 3 Pages

    Rhetorical Analysis Of We Are What We Trade By David Sirota

    In the article We Are What We Trade,” Sirota tends to bash on the past, present, and future correlation between trade and globalization. Sirota asserts that supply and demand create a significant affect in many policies of people. Sirota claims that trade and globalization has benefited many countries all over the world in their own economy, while diminishing our own. However, these affects on other countries have a negative aspect such as companies seeking production in countries that are lacking human right laws. Sirota brings up a senator to aim at convincing readers there are ways of restructuring the infrastructures that allow a higher quality…

    • 667 Words
    • 3 Pages
    Good Essays
    Read More
  • Powerful Essays

    Fins2622 Notes
    • 6821 Words
    • 6 Pages

    Fins2622 Notes

     Free Trade: David Ricardo (support free trade) o Theory of comparative advantage: For two nations without input factor mobility, specialisation and trade could result in increased total output and lower costs than if each nation tried to produce in isolation.  Both nations can benefit from trade if each specialises in good that they have the lowest opportunity cost, even if one economy is more efficient in making everything.  However, Comparative advantage in not static, and changes over time in reality.  Also, comparative advantage assumes that factors of production can’t move between countries  therefore comparative advantage is set to be outdated  production and employment usually moves to the lowest cost economies  Reality: Countries encourage exports, but limit imports o Due to mecantalism  i.e. total world wealth is limited and trade is a 0‐sum game if one country benefits, the other loses in order to win, you encourage exports  HOW? Through colanising  therefore legislated that the country could only trade with colonised country.  Who gains from free trade?  Some say that comparative advantage is just a way for developed economies to gain  Because before, developed economies were very protected (in order to establish their industries), and now they want everyone to do free trade (to benefit themselves). Since developed economies developed their industries a long time ago, they usually have a comparative advantage in high technology products (which lead to greater growth compared to agricultural products), whilst the developing countries specialise in the lower growth agricultural products.  Creation of international institutions: GATT, WTO  Creation of trade blocs…

    • 6821 Words
    • 6 Pages
    Powerful Essays
    Read More
  • Satisfactory Essays

    Harvey N M2 A2
    • 621 Words
    • 2 Pages

    Harvey N M2 A2

    Peter Hann describes free trade as, “generally considered by economists to be beneficial to international trade by encouraging competition, innovation, efficient production and consumer choice” (Hann, 2011 para. 1). Free trade allows freedom of international exchanges; with this there are advantages as well as disadvantages. Some advantages consist of cost advantages, factor earnings, cheaper imports, and an enlarged market (Chand, 2015). Cost advantage allows free trade to warrant a portion of possessions and resources. This in turn leads free trade into the most efficient conduct of economic affairs. Factor earnings and cheaper imports allow production factors to increase while import rates decrease. Enlarging the market is an advantage of free trade because it increases the market allowing labor to be possible. The disadvantages of free trade consist of all countries being in conjunction and working together. Meaning it will only work and be productive if all countries participate, if there is one country that decides not to partake in free trade, it will not work. It is also unfair to and creates a disadvantage to countries for those countries that are unable to compete with larger, advanced countries (Chand, 2015).…

    • 621 Words
    • 2 Pages
    Satisfactory Essays
    Read More
  • Good Essays

    The Travel Of A T-Shirt In The Global Economy Summary
    • 458 Words
    • 2 Pages

    The Travel Of A T-Shirt In The Global Economy Summary

    Globalization and free trade are controversial issues that cannot be seen from just one side. The author clearly state that globalization benefits the allocation of resources, increase income, world output, variety of goods and is essentially good for the consumer. However, as I like to say, not everything that shines is gold. Globalization is not the immediate response or salvation for the poor and less developed countries in the world. For me, the so called globalization “backlash” has strong reasons that I respect and understand. However, although I recognize that under a free trade…

    • 458 Words
    • 2 Pages
    Good Essays
    Read More
  • Good Essays

    Gains from Trade Using Supply and Demand Analysis
    • 782 Words
    • 4 Pages

    Gains from Trade Using Supply and Demand Analysis

    Free trade, interchange of commodities across political frontiers without restrictions such as tariffs, quotas, or foreign exchange controls. This economic policy contrasts with protectionist policies that use such restrictions to protect or stimulate domestic industries. In this article I will discuss the positive and negative effects of free trade. Trade can lead to an improvement in overall economic welfare if countries specialize in the products in which they have a production advantage. Trade allows businesses to exploit economies of scale by operating in international markets. International competition stimulates higher efficiency and reduces monopoly power. Trade enhances consumer choice and international competition between suppliers helps to keep prices down. Trade in ideas stimulates product and process innovations that generates better products for consumers and…

    • 782 Words
    • 4 Pages
    Good Essays
    Read More
  • Powerful Essays

    Is Free Trade a Wayforward?
    • 3320 Words
    • 14 Pages

    Is Free Trade a Wayforward?

    In this discussion I will argue that although free trade is said to be the engine for growth, a better way of achieving economic and social development and poverty eradication for the developing and participating countries, the realities behind it is still a mounting hostility with the process it self, especially by the millions around the world who have been thrown into poverty by market liberalizations from free trade agreements. Then I will also discuss some examples on the effects of free trade, as it will provide evidence to our people that free trade practices do not assist in closing economic gaps, but rather they assist in making these gaps wider. And also I will touch a little bit on the key players involve in free trade negotiations. Lastly in this discussion I will express in brief my personal view on this topic "Is free trade a way forward for Solomon Islands?…

    • 3320 Words
    • 14 Pages
    Powerful Essays
    Read More
  • Good Essays

    School Work
    • 643 Words
    • 3 Pages

    School Work

    International Trade is important to many countries because it allows a country to import products or resources that may be difficult to produce locally. As a result, this enhances the country’s growth and economic wealth, and also allows the country to focus on increasing the production of resources or goods that the country can then export elsewhere. For…

    • 643 Words
    • 3 Pages
    Good Essays
    Read More
  • Best Essays

    Economic Growth and Public Policy of the Uk: Does the Protectionism Help?
    • 2513 Words
    • 11 Pages

    Economic Growth and Public Policy of the Uk: Does the Protectionism Help?

    The effects of globalization have touched all the aspects of life and business today. One aspect is the trading policies between countries. Since the late nineteenth century, the collision started between domestic and foreign industries, which ask governments for measures that could protect local industries, without discouraging the country’s trade relations. The term ‘Protectionism’ was thus introduced in the language of global trade and economy (Rowley, 2002). Protectionism is an economic policy applied in the trading system, to restrict the quantity of imported items, and to flourish country’s exports. The objective of this is policy is to maintain the competition between foreign and the domestic industries. In most of the countries, free trade is not followed and various tariffs and duty charges are applied on the import goods. These taxes allow the government to generate a fair bit of revenue, without utilizing their resources. Moreover, it also helps in the sustainability of the domestic industries. The prices of the imported goods are kept higher by adding these taxes so that the local customers, looking for cheaper options, have to buy the domestic items. In parallel to this, the protectionism policy allows domestic industries to raise the prices of their products, without raising the quality of their products (Ethier & Fischer, 1987, pp.1-2).…

    • 2513 Words
    • 11 Pages
    Best Essays
    Read More
  • Powerful Essays

    Emergence of the Globally Integrated Business World
    • 5953 Words
    • 24 Pages

    Emergence of the Globally Integrated Business World

    Information technology and other technological innovations have put global markets within the reach of even small firms in remote locations. Yet, in spite of all its benefits, globalization has an underside. Critics point out its adverse effects, including those on developing nations.…

    • 5953 Words
    • 24 Pages
    Powerful Essays
    Read More
  • Better Essays

    Key Elements to the Success of Fair Trade
    • 1533 Words
    • 7 Pages

    Key Elements to the Success of Fair Trade

    Globalization becomes the current trend of the world. People can easily enjoy foods coming from across the border. When having a cup of coffee in Starbucks, people drink the coffee beans from Africa or when having a dinner, people eat rice from Asia. It all thanks to the trading system. Unlike trade in general, Fair trade gives farmers more benefits. According to Fair trade International (2011), the sales of Fairtrade certified products grew 15% and in 2009, Fairtrade certified sales amounted to approximately €3.4 billion worldwide from 2008 to 2009. Thus, Fair Trade has become one of the fastest growing markets in the world with more than 70 countries where Fair trade products are sold. The stories of Fair trade seem to be successful but it bases on other elements behind that perfect picture.…

    • 1533 Words
    • 7 Pages
    Better Essays
    Read More
  • Powerful Essays

    Globalization: the Good, Bad and the Ugly
    • 2310 Words
    • 10 Pages

    Globalization: the Good, Bad and the Ugly

    As we know from the simple principle of microeconomics that” people face trade off”. We are better off when we trade off. People have to give up something which they have to get something which they do not have. What globalization has done to the human kind is beyond imagination. We have the access to resources which one could not even think of before globalization. There are five factors of production, land, labor, capital and organization. These are the resources which are leveraged to optimize the production of goods and services. After globalization market has become free and every country has access to each others’ resources. There are two things which work, one the country is benefitting because of export and the country is able to generate goods, services and employment by exploiting other country’s resources. So both of them are complementing each other and participating in mutual development. If you look at the tag on your shirt, chances are you would see that it was made in a country other than the one resides. What's more, before it reached your wardrobe, this shirt could have very well been made with Chinese cotton sewed by Thai hands, shipped across the Pacific on a French freighter crewed by Spaniards to a Los Angeles harbor. This international exchange is just one example of globalization, a process that has everything to do with geography. As more money is poured in to developing countries, there is a greater chance for the people in those countries to economically succeed and increase their standard of living. Global competition encourages creativity and innovation and keeps prices for commodities and services in check. Developing countries are able to reap the benefits of current technology without undergoing many of the growing pains associated with development of these technologies. Governments are able to better work…

    • 2310 Words
    • 10 Pages
    Powerful Essays
    Read More
  • Good Essays

    Evaluation of Disparities
    • 1026 Words
    • 5 Pages

    Evaluation of Disparities

    The introduction of trade could help a country out very significantly in terms of economy. Firstly, it can open barriers and allow international companies to develop business in the developing country, which would be a big benefit to them economically. If there are more companies and more jobs, there would be more employment which would help the citizens greatly because they would be able to afford the basic needs for their families too. One example can be seen through China before 1976 and China now. After the end of the relative isolation in China, the Chinese economy boomed. For one, it grew 8 times bigger. They also managed to increase economic growth by an average of over 10% in a year; exports by 15% a year in the 1980s and 90s. After many other vast improvements in China because of trade, it has risen to the world’s third largest economy in less than 40 years. Unfortunately, it is not easy to help all these countries through trade alone. Many poor countries are primary product dependent. This means that they rely on one or a small number of primary products to obtain foreign currency through export. Compared to manufactured goods and services, the world market price of thee primary products are very low. This plays a very big part in why so many nations are…

    • 1026 Words
    • 5 Pages
    Good Essays
    Read More
  • Good Essays

    Economic Globalization
    • 663 Words
    • 3 Pages

    Economic Globalization

    It is a difficult task to provide a clear-cut judgment on whether economic globalization is beneficial to overall the world economy. We see more states joining the World Trade Organization (WTO). We also see protests where people roaring “down down WTO”. The reason why we see this phenomenon is that economic globalization is a two-edged sword. While providing new opportunities, economic globalization also means risking its own domestic economy. It is important to carefully examine both the benefits and harms of this two-edged sword.…

    • 663 Words
    • 3 Pages
    Good Essays
    Read More
  • Powerful Essays

    Comparison of Uk and China’s Bicycle Markets
    • 3644 Words
    • 15 Pages

    Comparison of Uk and China’s Bicycle Markets

    With the advent of the improvisation of technology in the transport, communication and information transfer like internet, the providence of the small businesses and large scale businesses as well was greatly changed in the last five decades. The pursuit for the expansion of market place is no longer limited to a place or country but it has become a global competition. Besides, it was reported that the world trade expansion has been 20 times compared to its business in 1950, and overcame the world’s output by six and a half times in 2001 (WTO, 2001). Especially the small businesses were reported to have increased their cross-border investments, which are directly responsible for the massive increase in the outflow of FDI annually from $25 billion (1975) to $1.3 trillion (2000) setting up a record (UN, 2001).…

    • 3644 Words
    • 15 Pages
    Powerful Essays
    Read More
  • Powerful Essays

    Globalization and Child Labour
    • 2263 Words
    • 10 Pages

    Globalization and Child Labour

    (Preble, 2010) adds that widespread trade liberalization characterizes the current era of globalization. This period of globalization has had many positive effects like job creation, improved living standards and a wider variety of cheaper consumer goods and services (Preble). However, the key drivers of the current globalization era like free trade, private ownership, technological breakthroughs in transportation and communication and foreign direct investment, also cause dislocations and downsides. A more sustainable form of globalization has to be attained in order to prevent a relapse of globalization’s progress so far (Preble).…

    • 2263 Words
    • 10 Pages
    Powerful Essays
    Read More

Related Topics