Free Trade & PProtectionists

By: Xzabria Jones

Advantages of Free Trade

increase exports

increase competition

higher employment rates

less child labor.

Free trade is a policy followed by some international markets in which countries governments do not restrict imports form, or exports to, other countries.

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Disadvantages of Free Trade

Unbalanced Development

Political Slavery

Harmful Products

Reduction in Welfare of Certain Groups

Harmful to Less Developed Countries.

Protectionist is the economic policy of restraining trade between states (countries) through methods such as tariffs on imported goods, restrictive quotas, and a variety of other government regulations designed to allow fair competition between imports and goods and services.

Advantages of Protectionists

  1. Protect domestic jobs which are threatened by rise of imports.
  2. Raise revenue
  3. Diversify the economy – help develop new industries to give more diversity to economy.
  4. Protect certain key industries from international competition to try and safeguard jobs.
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Disadvantages of Protectionists

1.Increasing prices for domestic consumers.

2.Undermining a country's exports by increasing prices.

3.Damage the trading system.