Trade Policies for Developing Nations

False (B)

Reliance on primary commodities exposes economies to price volatility.

<p>Asian Tigers</p> Signup and view all the answers

<p>Commodity Dependence = Exposure to price volatility in global markets Lack of Industrial Diversification = Limited capacity to produce high-value manufactured goods Trade Barriers = Tariffs, quotas, or subsidies that disadvantage exports Export Promotion = Strategy to enhance exports rather than import substitution</p> Signup and view all the answers

<p>Promote economic growth and diversification (C)</p> Signup and view all the answers

<p>False (B)</p> Signup and view all the answers

<p>Social costs such as unemployment and reduced access to public services; increased inequality.</p> Signup and view all the answers

<p>export</p> Signup and view all the answers

<p>Protects nascent industries from foreign competition (C)</p> Signup and view all the answers

<p>Import Substitution Industrialization = Reduce reliance on imports Export Promotion = Leverage comparative advantages Structural Adjustment Programs = Economic stability through reforms Trade Liberalization = Reduce barriers to trade</p> Signup and view all the answers

<p>True (A)</p> Signup and view all the answers

<p>Vulnerability to external demand fluctuations.</p> Signup and view all the answers

A policy focused on developing domestic industries by discouraging imports and promoting local production, aiming to achieve self-sufficiency.

A strategy where countries focus on exporting goods and services to generate economic growth, often with government support for specific industries.

The excessive reliance of a nation's economy on the production and export of a small number of primary commodities, often leading to vulnerability to price fluctuations in global markets.

The situation where a country lacks a diverse range of industries and relies heavily on a few sectors, making it susceptible to economic shocks affecting those specific industries.

A set of economic policies often implemented by the IMF as conditions for receiving financial assistance, typically emphasizing liberalization, deregulation, and privatization.

The process of reducing tariffs, quotas, and other trade barriers.

The process of transferring government-owned industries to private ownership.

The act of decreasing public spending to reduce government deficits.

The organization that sets the rules for global trade and helps countries resolve trade disputes.

Special rules within the WTO that provide advantages to developing countries, especially the least-developed countries.