POLI 260 Lecture Notes - Lecture 14: World Trade Organization, Free Trade, Stumpage
Document Summary
Next wednesday: the format and strategies for the final exam. Make sure it is ir paper, not comparative. Free trade is necessary to facilitate prosperity. They have high tariffs on foreign agricultural products and a lot of compensations. Sometimes a product is more than a commodity. We buy and sell land, but farmers have sentiments towards their land. Germans have sentiments towards beer; japanese towards rice. There are a lot of political difficulties associated with making economic decisions. Sometimes it does not matter which is more efficient, but only which has more power. You need to buy a license to sell cheese. The license was free at first, but now very expensive. New zealand experienced a rough period after england joined eu (no longer receives as much support from england) Difficult at first, but eventually number of farmers is fewer, and they became more efficient. Products from developing countries might not meet the standards of the global market.
