China gives its aluminum industry an unfair advantage through underpriced loans and other illegal government subsidies. These
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“China gives its aluminum industry an unfair advantage through underpriced loans and other illegal government subsidies. These kinds of policies have disadvantaged American manufacturers and contributed to the global glut in aluminum, steel and other sectors.” Discuss both the economics and the political economy of this viewpoint.
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Economics Underpriced Loans and Subsidies Underpriced loans and subsidies can distort market competition by providing Chinese aluminum manufacturers with access to cheaper capital reducing their produ...View the full answer
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Related Book For
International Economics Theory And Policy
ISBN: 9781292409719
12th Edition
Authors: Paul Krugman , Maurice Obstfeld, Marc Melitz
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