what is trade barrier?how and why it was used ?what changes have taken place in 1991?what is liberalisation?
Answers
Answer:
Hello mate
Explanation:
Trade barriers are government-induced restrictions on international trade. Economists generally agree that trade barriers are detrimental and decrease overall economic efficiency; this can be explained by the theory of comparative advantage.
Trade barriers protect domestic industry and jobs. Workers in export industries benefit from trade. Moreover, all workers are consumers and benefit from the expanded market choices and lower prices that trade brings.
Liberalization or Liberalisation is the precondition for privatization and globalization. Liberalization is a broad term that usually refers to fewer government regulations and restrictions, mainly on economic activities. Liberalization is a change in the economic philosophy of a state.