Economics

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ECONOMICS

Improving the Economic Performance of Country

Improving the Economic Performance of Country

Introduction

The study relates to strategies or methods for improving the economic performance of country. As the economy of the country is based on agricultural sector, it is suggested by the suggested by World Bank to have deeper integration into the global economy. This shows that the country should have flexible economic policy that is based on removing trade restrictions which can help in having free trade in the country.

Discussion

The removal of trade barriers is one of the key challenges and critical to the future success of country. Removal of trade barriers, preventing the decline in demand in markets, replacing the preference of Asian particularly among the ethnic population, improvement of food safety and product integrity and increased productivity of industry are important for a country as it help the country in its economic growth. Besides it, it is imperative to note that perhaps the most important challenge is to increase the rate of commercial release. Trade barriers are higher as a result retail prices for products are high in many countries (Halligan, 2010, 26-84).

Usually the trade barriers can be expressed in taxes, customs clearances, tariffs, quotas, licenses, permits, and much more. These are measures taken by the authorities to achieve the purpose of protection or opening their economies. However, these measures are giving way to a new form of non-tariff barriers, which may be equally or restrictive purposes, as is the case of strict-or pro-competitive regulations, as those rules to generate health quality standards.

Although trade barriers continue to have a protectionist nature of national economies, their current goals do not jeopardize foreign trade, but instead improve the terms of trade in terms of quality and safety of competition, for example when health certificates, reciprocity in the exchange of products, safeguarding intellectual property or the prohibition to enter a dangerous product to the required population (Grossman, 2000, 411).

One of the profits of free trade is expressed in the law of near playing point which says that a nation might as well have some expertise in merchandise / benefits that it does best and exchanges it with different nations for its needs. This speaks to an accurate request and supply of the business. This is accurate on the grounds that when nations represent considerable authority in certain merchandise that is great at generating, they can exploit economy of scale and produce their products at an easier preparation costs (Brown & Hatcher, 2010, 62-123).

Free trade basically refers to a strategy in which an administration does not oppress imports or meddle with fares. An organized trade strategy does not so much infer that the legislature deserts all control and tariff of imports and fares, yet rather that it shuns movements particularly intended to frustrate universal exchange, for example, duty restraints, coin limitations, and import amounts. The hypothetical case for nothing exchange is dependent upon Adam Smith's contention that the division of labour around nations prompts specialization, more stupendous productivity, and higher total ...
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