In today's global trading system, countries have instruments to promote trade globally, and they have mechanisms to restrict trade globally. The global trading system has introduced the General Agreement on Tariffs and Trade (GATT) and the World Trade Organization to promote international trade.

For this assignment:

1. First, list and explain the instruments a country has to promote and restrict trade. Give at least one example of each you can cite with a recent news article.

2. How effective are these measures? Do you think they do what the country intends them to do? Can the consumer be hurt by higher prices?

3. Explain GATT and the WTO, give a brief history, and tell me if you believe these organizations effectively promote free trade. What are their strengths and weaknesses?

Answer rating: 100% (QA)

1 Instruments to Promote and Restrict Trade a Instruments to Promote Trade i Tariff Reductions Countries can lower tariffs on imported goods to encourage trade For example a country may reduce tariffs ... View the full answer