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Dr.

Ram Manohar Lohiya National Law University, Lucknow


B.A., LL.B. (Hons.)

International Trade Law


'The misuse of free trade
Synopsis

Submitted to
Ms. Seema Siddiqui
Faculty of Law.

Submitted by
Abhishek Singh
Roll No. 135
Section B
7th Semester
SCOPE OF THE PROJECT

The scope of this project is to establish the hypothesis that the in order to improve the
economy of underdeveloped nation there is a need of abolition of free trade for them by
developed countries. The project shall consider various research works, articles, and trade
statistics to prove the hypothesis.

RESEARCH METHODOLOGY
The methodology applied for this research is exploratory and theoretical. It explores the
reasons why free trade is unnecessary in trading with underdeveloped nations.
Objective
The objective of this project is to prove that by abolition of free trade the underdeveloped
nations will be benefited and also their economy.

Hypothesis
Developed countries misuse free trade barriers to economically fight against poor and
undeveloped countries. Free trade barriers correspondingly help advanced states to take
advantage of poor nations. In particular, developed countries use trade barriers in those
fields in which they cannot compete with undeveloped and underdeveloped countries.
This odd unevenness in the misuse of free trade barriers leads to a large gap between
advanced and undeveloped states. This large gap favors developed countries economies.
This deterioration and weakening of poor and developing nations economies can be
clearly seen repeatedly. However, this is not fair. As Edmund Burke, a great British
philosopher, said, Free trade is not based on utility, but on justice (Burke).
The questions are: has this statement been true and implemented effectively and
efficiently in order to create a win-win scenario for both advanced and developing
countries? Have free trade concepts and their components, in particular free trade
barriers, helped poor and developing countries to stand at a good economic position
around the world? The answer to above questions is No! Unfortunately, free trade has
been misrepresented to people around the globe such that they think it can bring wellbeing for undeveloped and developing nations.
Free trade barriers used by developed states also are not defined under the doctrine of
justice. All negative impacts, caused by implementation of free trade barriers, result in
the third world and poor countries being dependent on advanced nations. Moreover, this
situation helps developed countries to influence poor and developing countries

economies and to dominate their markets. Developed countries misuse free trade barriers,
such as tariffs, subsidies and import quotas as weapons against poor countries to make
them dependent, to compromise their emerging economies, and to monopolize their
markets.

Method
This project involves study and review of various articles and law reviews published in
India as well as other online forums for public review along with certain documents from
international trade forums.

Sources
The sources that have been taken up for this project are various articles published in
newspapers and international trade law journals.

LITERATURE SURVEY
Mankiw, N. Gregory. Principles of Macroeconomics. South-Western College Publication,
2004.
Nickels, William G., James M. McHugh and Susan M. McHugh. Understanding
Business. New York: McGraw-Hill Irwin Press, 2005.
Todaro, Michael P. and Stephen C. Smith. Economic Development. Todaro, Michael P.
and Stephen C. Smith.Economic Development. Addison Wesley, 2009. 839.
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1 Vol 17 (2001) 233 - 279

TENTATIVE CHAPTERIZATION
1.
2.
3.
4.
5.
6.

Introduction
Tariffs
Subsidies
Negative Effect of free trade
Changes in International Trade in respect to free trade
Conclusion

CONCLUSION
In conclusion, free trade barriers, such as the implementation of tariffs, subsidies and
import quotas by advanced countries, have been employed to defeat newly established
economies of poor or developing countries. This leads to a major gap between advanced
and poor nations, and developed economies are always better off in this situation. Free
trade concept and its components, free trade barriers, ought not to be utilized to achieve
advanced economies interests. Free trade makes poor countries dependent on developed
countries to compete and survive, as wealthy countries use free trade barrier policies to
promote their own economies. It also degrades poor countries domestic manufacturing
capability due to their inability to compete with foreign manufacturers who impose trade
barriers. Without a doubt, according to WTO practices, most of free trade barriers are
illegal. Consequently, many countries, in particular advanced states, should not
implement illegal free trade barriers.

Bibliography

Contribution
I will research in this project the origin of free trade and its pros and cons in respect to
international trade law. I will try to contribute the concept that many think only the
advantage of free trade but not its disadvantages so this this research will help us to know
the same.

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