The Travel Of A T-Shirt In The Global Economy Summary
Name: Andrea Cendon Nuevo
Case Summary # 1: The travel of a T-shirt in the Global Economy.
“The Travel of a T-shirt in the Global economy” explain us through the example of the U.S textile industry how globalization and free trade works. From the moment I realize that a simple and basic product such as a t-shirt is the result of the increased integration of products and resources across international markets, I understand how important and fundamental globalization has become.
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 …show more content…
Although American cotton growers are well-known for being “innovative entrepreneurs”, the big theme of discussion and controversy here lies in the subsidies farmers receive from U.S government. The whole set of quotas, tariffs and subsidies they receive are called protectionist policies. Protectionism is in my opinion a short-term solution to the issue of imports in any country. At the beginning, the protectionist measures will help U.S preserve its domestic products as well as the work of many workers and their wages. However, eventually, the lack of international trade and measures prohibiting imports will lower the income of the other nation (in this case China), which in turn will lower the amount expenditures in the U.S. U.S exports to China will also
Case Summary # 1: The travel of a T-shirt in the Global Economy.
“The Travel of a T-shirt in the Global economy” explain us through the example of the U.S textile industry how globalization and free trade works. From the moment I realize that a simple and basic product such as a t-shirt is the result of the increased integration of products and resources across international markets, I understand how important and fundamental globalization has become.
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 …show more content…
Although American cotton growers are well-known for being “innovative entrepreneurs”, the big theme of discussion and controversy here lies in the subsidies farmers receive from U.S government. The whole set of quotas, tariffs and subsidies they receive are called protectionist policies. Protectionism is in my opinion a short-term solution to the issue of imports in any country. At the beginning, the protectionist measures will help U.S preserve its domestic products as well as the work of many workers and their wages. However, eventually, the lack of international trade and measures prohibiting imports will lower the income of the other nation (in this case China), which in turn will lower the amount expenditures in the U.S. U.S exports to China will also