Question

Why do developed countries want to developing countries to liberalise the trade and foreign investment? What do you think should be developing countries demand in return? in points ​

Answer 1

Answer:

Answer: 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.

Explanation:

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Answer 2

Answer:

HERE IS YOUR ANSWER

Explanation:

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. Suppose the Indian government puts a tax on imported goods, then the price of the goods will be higher for the consumer. As a result, the consumer will prefer to buy goods produced locally. Consequently, there will be no demand for imported goods and developed countries will not able to sell their goods in developing countries.