International Business

Environment
Professor: Kanora Chhan, MBA
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Name: Ung Pengyong (G2) 23rd February 2017
 Question

2. Whose interests should be of

paramount concern of government
trade policy—the interests of producers
(businesses and their employees) or
those of consumers?

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 Trade Policy

1. Tariffs
2. Subsidies
3. Import Quotas
4. Voluntary Export Restraints
5. Local Requirements
6. Administrative Policies
7. Antidumping Policies
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 Government
(Trade Policy)

Producers Consumers

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 Answer

The government trade policy should

strike a balance when it comes to
protecting the interests both parties.

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 Equal Concerns

If more concern If more concern Fair approach and

towards producers towards consumers prevent conflicts

1. Protects inefficient 1. Lose local producers

domestic producers and jobs 1. win-win or lose-lose.
and jobs. Everybody is contented.
2. Lower price for
2. Higher price for consumers 2. Prevent social
turmoil and trade war.
consumer

Ex: US steels 30% Ex: reasonable

increase in tariff Ex: US steels 30%
increase in tariff adjustment and
US agricultural take all
subsidies for rice. US agricultural stakeholders into
subsidies for rice. consideration.
(free trade=$182b)

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 Conclusion

The government trade policies

should not favor the interest of a
particular group over the other. And,
the government should embrace
free trade policy and offer less
Intervention.

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Thank You for Your Attention
23rd February 2017

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