BUSI 2701 Chapter Notes - Chapter 6: Buy American Act, Voluntary Export Restraints, Asteroid Family
20 Apr 2016
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Document Summary
Many products require the use of rare earth minerals (iphones/wind turbines etc. ) Environmental restrictions in us/cnd/aussie etc. opened up for the industries in china. But messed with trade rules to support themselves wto ruled against them but many companies plan to stop using these materials in response (tesla/toyota) and many countries investing in mining. Free trade: situation where gov doesn"t restrict what citizens can buy from other countries or what countries can sell to other countries. Political reality is many nations committed to free trade but tend to intervene in int trade to protect interests of politically important groups. Government instruments of trade policy: tariffs: tax on imports. Specific tariff: tariff as a fixed charge for each unit of a good imported: ex. Ad valorem tariff: (%) a tariff levied as a proportion of the value of an imported good.
