MAR 4156 Lecture Notes - Lecture 2: World Trade Organization, Protectionism, General Agreement On Tariffs And Trade
Document Summary
Barriers to trade are one of the major issues confronting international marketers. Countries continue to use non tariff barriers for a variety of reasons. Dominance of us multinationals in the 1950s and 1960s. Large investment by us companies in europe and latin america. Concern in latin america resulting in expropriation of direct us investments. In europe, there was strong public demand to limit foreign investment. The balance of merchandise trade also reflected the changing role of the united states in world trade. Between 1888 and 1971, the united states had a favorable balance of trade. By 1971, the united states had a trade deficit of billion that grew to at billion in. Trade deficit peaked in 2007, with the continued weakness in the us dollar. The positive consequence of the global financial crisis in 2008 in the united states was the halving of the us trade deficit during 2009 from its high in 2007.
