Use the following terms to explain how Mexico’s economy has benefitted from NAFTA: import tariffs, Wranglers, beer, Michoacan
NAFTA has been the free trade
agreement between USA, Canada and Mexico. It has helped Mexico
economy to revive and get many benefits. NAFTA, the trade became
free of import tariff and it helped Mexican producers to export
their cheap agricultural products to the countries of USA and
Canada. For example, Michoacan has been the state as largest
producer of Avocado. So, Avocado, along-with the tomatoes has been
exported in huge quantities to these countries. Further, many MNC
firms came to Mexico and started production. These producers also
imported the necessary ingredients from the USA and produced
Mexican Beer and exported to these nations as well as to the rest
of the world. In another example, producers of Wranglers jeans,
established in their production house in Mexico in 2001. From
Mexico, these products were exported to other neighboring
countries. Job creation also took place. It made the economy of
Mexico to revive and grow. All these benefits took place due to
NAFTA.
Use the following terms to explain how Mexico’s economy has benefitted from NAFTA: import tariffs...
The United States has utilized tariffs, import quotas, embargoes, and sanctions over the years. Explain why America has used these, and give an example of each.
1-Who has benefited most from NAFTA?explain
Malaysian government has imposed import tariffs on imported photocopy machine from China to protect their local industry from foreign competition. Given are the two equations of domestic demand and supply of photocopy machine in Malaysia: Demand: Qd= 135 - 5P Supply: Qs= 15 + 15P where Q denotes quantity (in thousand units) and P denotes price (in RM thousand per unit). i) If the world price is RM5 thousands per unit and import tariff of 10% is imposed, determine the...
Which of the following is a provision of NAFTA? A. Common accounting rules B. Adding new countries to the European Union C. Adoption of the dollar as a common currency D. Elimination of tariffs on goods originating within North America E. Membership in the World Trade Organization Criteria that determine whether a good meets NAFTA rules of origin include which one of the following? A. Goods wholly produced or obtained in the NAFTA region B. Goods containing non-originating inputs but...
TARIFFS PARTIAL EQUILIBRIUM DUE: Suppose we have the following demand and supply functions (taken from Assignment #2). HOME FOREIGN Demand P100-2Q SupplyPQ DemandP- 200 2Q SupplyP-4Q 1:Two-country model with IMPORT TARIFFS: use the functions above (1 point) a) Calculate the autarchy prices in each country. Who imports? Exports? (1 point) b) (2 point) c) (1 points)d) Suppose the importer imposes an import tax of $2 per unit. Calculate the new equilibrium world price. What is Home's and Foreign's domestic prices?...
Recently the United States has been imposed a growing number of tariffs on imports from China. Suppose that other countries around the world begin imposing similarly broad tariffs on the United States and each other. Based on what you have learned in the course, how do you think the global economy and specific industries within it would be affected?
Suppose the United States imposes tariffs on Canadian products. This has the effect of making Canadian goods more expensive in the U.S. Explain how this trade policy would affect the aggregate demand curve in Canada under each of the following conditions. Use diagrams of money market, the foreign exchange market and the output market for a small open economy in your answer and explain all the details clearly. The Bank of Canada has adopted a flexible exchange rate. The Bank...
Explain in 200words...The chemical industry is enormous in the industrialized world. How has society benefitted from advances in the chemical industry? What negative effects has the growth of the chemical industry had on society?
How do inflation and unemployment affect the economy in terms of growth (use U.S. as an example)?
Assume that a small open economy is at full-employent but suffers from a large government budget deficit. The country wants to increase its net exports. Using the Classical Model, explain what would be the best policy to acheive this objective. a) Imposing import tariffs, or, b) increasing income taxes, or, c) reducing government expenditure. Explain why you have chosen a) or b) or c). Draw a graph to support your answer