Question

Make the argument that the socioeconomic advantages outweigh the disadvantages of international trade for Colombia.

Answer 1

Colombia is one of the developing economies in the Latin America where the annual GDP growth rate is 1.6 % as of 2017 and annual GDP is $310 Billion. It makes a case in favor of international trade for Colombia and argument is this that international trade will improve the socio-economic status of the people of Colombia as new jobs will be created due to FDIs, joint ventures and other business initiatives in the country and more quality at lower price will be offered to people. Further, it will be an opportunity to improve the social status of the people, their choices and behavior when international relations are developed. These developments along with rise in per capita income and faster GDP growth rate, will outweigh the disadvantages that comes as loss to the domestic industrial setups, exploitation of natural resources and loss to the eco-system. These disadvantages can be managed by a proper regulatory framework and step-by-step progression into international trade or opening up of the different industries in Colombia.