Question

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Why do developed countries want developing countries to liberalise their trade and investment? What do
you think should the developing countries demand in return?
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Answer 1

Developed countries want developing countries to liberalise their trade and investment because then the MNCs belonging to the developed countries can set up factories in less-expensive developing nations, and thereby increase profits, with lower manufacturing costs and the same sale price.

In my opinion, the developing countries should demand, in return, for some manner of protection of domestic producers against competition from imports. Also, charges should be levied on MNCs looking to set base in developing nations.

Answer 2

Explanation:

Developed countries wants developing countries to liberalise their trade or investment policies so that companies from developed nations with heaps of cash and modern technology could penetrated the markets and gain majority market share of developing nations and earn higher profits.

Developing nations should liberalise their policies to an extent that their local manufacturers do not suffer due to tough competition from multinational giants. demand developing nations should also demand for setting limits for investment and trade by foreign traders and investors.

Hope you'll like it.