2006-12-20 10:59:23 · 4 answers · asked by iMpErFeCt 1 in Social Science ➔ Economics
positive: specialisation, total output increases in both countries (see law of comparative advantage (and its assumptions)) should drive inefficient producers out of the market. Thats the main positive encompasses all the other arguments as in bigger markets etc. Also for big items such as cars where its not economical for them to be produced in small countries this allows those small countries to have cars...same thing for allowing non-oil countries oil.. non-gold countries gold...for all those reasons its just an argument to trade and for it to be free just makes it more efficient.
arguments against is the structural unemployment caused by specialisation and inferred inefficiency of the obvious wish of a country not to lose food sources even if its more expensive in case of war etc...
2006-12-20 11:08:17 · answer #1 · answered by marco_syco 2 · 0⤊ 0⤋
Free trade is largely a myth. Most of the so-called free trade agreements are really just 'managed trade' agreements and because they usually take place between countries in which the balance of power is radically unequal even the management of the trade is usually unfair. Take the US for example, it consistently loses trade disputes and almost never abides by the decisions. Most so-called free trade agreements are negotiated in bad faith and in the interest of the more powerful party and are maintained unfairly throughout. The European Union is probably the closest thing to free trade and even then there are a remarkable number of rules concerning the movement of goods and labour. We do not know the positive and negative effects of free trade because there is no free trade.
2006-12-20 13:44:07 · answer #2 · answered by Anonymous · 3⤊ 2⤋
Free Trade be good if the agreement was not full of 20,000 looppoles, and the country of origin requiremen wasnt 10,000 pages. Free Trade should be Free Trade, not just captial, commodies but labor, people, good everything then its acutally free trade then it actually benefits both.
2006-12-20 11:30:33 · answer #3 · answered by ram456456 5 · 0⤊ 0⤋
...all it does is let more Mexicans drive their "junk" Trucks on US Highways !
2016-03-13 09:02:21 · answer #4 · answered by Anonymous · 0⤊ 0⤋
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2006-12-20 11:10:57 · answer #5 · answered by cgd g 1 · 0⤊ 1⤋