Question

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How has liberalisation of trade and investment policies helped the globalisation process?




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Answer 1

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Liberalisation of trade and investment policies has helped the globalisation process by making foreign trade and investment easier. Thus, liberalisation has led to a further spread of globalisation because now businesses are allowed to make their own decisions on imports and exports.

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Answer 2

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• Liberalisation of trade and investment policies has helped the globalisation process by making foreign trade and investment easier.
• Earlier, several developing countries had placed barriers and restrictions on imports and investments from abroad to protect domestic production.
• However, to improve the quality of domestic goods, these countries have removed the barriers.
• Thus, liberalisation has led to a further spread of globalisation because now businesses are allowed to make their own decisions on imports and exports.
• This has led to a deeper integration of national economies into one conglomerate whole.

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