Important areas of liberalisation
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Answer:
The primary goals of economic liberalization are the free flow of capital between nations and the efficient allocation of resources and competitive advantages. This is usually done by reducing protectionist policies such as tariffs, trade laws, and other trade barriers.
> Tax on import or export is known as trade barriers. trade barriers are important in a country like India because of the following reasons-
1.- Due to trade barriers government can control the export or import.
2.- Due to trade barriers government can minimise the the foreign competition and can help the producers of India.
3.- Due to trade barriers government came control the amount of goods which are going to export or import.
> Removing of trade barriers of the restrictions setup is known as liberalisation. Liberalization is important because of the following reasons-
1.- The company should have the right to make their benefits of profit by their own wishing import or export.
2.- Due to liberalization the amount of goods going to import export increases and this cause to the increase of availability of the variety of goods.
3.- A government abolish the restrictions on the trade barriers then only it is known as more liberal. So liberalisation is very important in an economy.
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