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Lecture 11

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Department
Political Science
Course
POL201Y1
Professor
Robert Brym
Semester
Fall

Description
POL201 –November 26 , 2013 Movie - IMF structural program ruined agricultural sector of Jamaica - Jamaican farmers unable to compete with the producers of imports - Forced to become a market for Canadian and American goods - Barred from selling to Canadian and American markets because of tariffs on their goods WTO - Reduce and make fair trade regulations and barriers to trade - Doha current round of trade negotiations involved in - Began 2001 stalled 2008 o Trying to make terms of trade between developed and developing countries more fair o Trying to help developing countries to enter market Doha Round - Eliminate export subsidies - Ending domestic subsidies that distort international trade o Main target EU US and Canada  Subsidize own products o Flood foreign markets but also foreign markets cannot compete in other foreign markets o Domestic policy issue that distorts international trade - Dealing with non-trade concern (food security) o Food security (the need to be self-sufficient in food so that don’t suffer with starvation and don’t become vulnerable) - Non-tariff barriers to trade o LDC (least developed countries) o Developed countries drop trade tariffs for LDCs o Non-tariffs barriers to trade are non-formal  Standards that cannot be met by farmers/producers elsewhere  Certain size, color, shape  Require money and chemicals to alter natural form o Develop countries want non-agricultural market access  If developed countries open markets to developing countries want developing counties to open their markets as well  Cut tariffs barriers - Who benefits more POL201 –November 26 , 2013 o Good for developing countries if stop domestic farm subsidize o Fear big corporations prevent developing nations to protect domestic economic interest o Long term impact is to open up economies and bring them into international trade (with benefit not to poorest countries) - If DOHA round is mainly about ending domestic subsidize in the global north so that developing countries can sell their goods in the global north and opening up developing markets to global north o (developing) Easy to sell agricultural products but not for manufac
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