Kimberly Ma / Bus5-187 Sec 13
Participation/ Discussion Questions:
Discussion: Why would government need to interfere?
Government will interfere for political, economic, and cultural reasons. In the economic sense, the government might intervene to protect, regulate and control the resources. Some political motives involve securing jobs, national security, responding to unfair trade, and gaining a bigger influence in the market. For instance, in order to secure jobs, the government might enforce local content requirements. These requirements are policies that require a certain amount of goods to be manufactured domestically in order to boost productivity within a nation. The advantages of this government interference is that it increases jobs, but the downfall to this is that there might not be enough skilled workers to be able to do the job as efficiently than if we decided to do so internationally. On the other hand, the government will interfere for cultural reasons if they feel that there is a threat to national security. …show more content…
Some trade policies that the US has is the North American Free Trade Agreement (NAFTA). This agreement states that Canada, US, and Mexico have trade agreements that allow for free trade zones and the elimination of trade barriers. Since we do not have trade agreements with other nations, the U.S imposes tariffs and quotas, taxes and restrictions on goods that can leave or enter the country. However, with this agreement, the U.S has duty-free and unlimited access to beef within the countries that are participating in
Participation/ Discussion Questions:
Discussion: Why would government need to interfere?
Government will interfere for political, economic, and cultural reasons. In the economic sense, the government might intervene to protect, regulate and control the resources. Some political motives involve securing jobs, national security, responding to unfair trade, and gaining a bigger influence in the market. For instance, in order to secure jobs, the government might enforce local content requirements. These requirements are policies that require a certain amount of goods to be manufactured domestically in order to boost productivity within a nation. The advantages of this government interference is that it increases jobs, but the downfall to this is that there might not be enough skilled workers to be able to do the job as efficiently than if we decided to do so internationally. On the other hand, the government will interfere for cultural reasons if they feel that there is a threat to national security. …show more content…
Some trade policies that the US has is the North American Free Trade Agreement (NAFTA). This agreement states that Canada, US, and Mexico have trade agreements that allow for free trade zones and the elimination of trade barriers. Since we do not have trade agreements with other nations, the U.S imposes tariffs and quotas, taxes and restrictions on goods that can leave or enter the country. However, with this agreement, the U.S has duty-free and unlimited access to beef within the countries that are participating in