what are the disadvantages of trade blocs?
438207
['Loss of Sovereignty. A trading bloc is likely to lead to at least partial loss of sovereignty for its participants. ... ', 'Interdependence. Because trading blocs increase trade among participating countries, the countries become increasingly dependent on each other.']
1458630
Under a free trade policy, goods and services can be bought and sold across international borders with little or no government tariffs, quotas, subsidies, or prohibitions to inhibit their exchange. The concept of free trade is the opposite of trade protectionism or economic isolationism.
714977
['more International Trade.', 'more goods & services generally available at lower prices.', 'higher quality goods & services more generally available.', 'more Wealth in the world.', 'lower Cost of Living.', 'higher Standard of Living.', 'Waste Reduction from greater Economic Efficiency.']
799813
['Economic growth, investment, and job creation. ... ', 'More support for local industry. ... ', 'Wider choice of lower-cost products for consumers. ... ', 'Fair playing field with WTO members. ... ', 'Protection from regional trading powers. ... ', 'Path toward better government.']
985522
First, the FTAA failed to include environmental and labor standards, thus making it difficult for the U.S. to export to countries of low wages and lax environmental enforcement. Second, the agreement would cost the U.S. millions of manufacturing jobs.
415118
The overall impact of these advantages is to lower the cost of trading goods in a common market. There are concerns that the lack of inter-border controls it is more difficult to supervise trade and prevent fraud, and/or the movement of prohibited and restricted goods that avoid paying VAT and Excise taxes.
1208024
NAFTA threatens national, state and local laws on hazardous waste, auto emissions, endangered species and food labelling. These could all be considered "trade barriers" and eliminated by challenges from corporations. For example, Canada has sued the US to permit the importation of asbestos.
601842
['Problems of Undervaluation and Overvaluation are Avoided: ... ', 'Promotes Growth of Multilateral Trade: ... ', 'Flexible Exchange Rates does not Necessarily Show Large Fluctuations: ... ', 'It Ensures Individual Freedom: ... ', 'It Frees the Government from Problems of Balance of Payments:']
495896
["The false belief that trade is a zero-sum game (win-lose), when in fact it's win-win.", 'The costs of protectionism to consumers are mostly hidden.', 'The benefits of protectionism to producers are easily identifiable and visible.']
974148
['A large amount of capital is required to start and run the trade.', 'It may not be possible to obtain professional management due to lack of funds.', 'Lack of resources or funds can restrict the growth of business.']
1070797
['Territorial specialization: International trade takes place basically due to geographical specialisation. ... ', 'International competition: ... ', 'Separation of sellers from buyers: ... ', 'Long chain of middlemen: ... ', 'Mutually acceptable currency: ... ', 'International rules and regulations: ... ', 'Government control: ... ', 'Several documents:']
1261900
Disadvantages of WTO. Free trade may prevent developing economies develop their infant industries. For example, if a developing economy was trying to diversify their economy to develop a new manufacturing industry, they may be unable to do it without some tariff protection. Difficulty of making progress.
806539
One of the significant advantages of international trade is market diversification. Focusing only on the domestic market may expose you to increased risk from downturns in the economy, political factors, environmental events and other risk factors.
420054
Fieleke says trading blocs are "an inferior substitute" for multilateral pacts, such as those under the General Agreement on Tariffs and Trade. ... Contrariwise, Jeffrey Schott, an economist with the Institute for International Economics in Washington, says regional blocs can be complementary to the GATT system.
286116
['ADVANTAGES OF GLOBALIZATION TO DEVELOPING COUNTRIES: ... ', 'Increased Employment and better living standards: ... ', 'Improved Wages for Local Community: ... ', 'Increased Financial Flow: ... ', 'DANGERS OF GLOBALIZATION TO DEVELOPING COUNTRIES: ... ', 'Dumping: ... ', 'Threat to Local Industries:']
804860
['Economies of scale. ... ', 'Product differentiation. ... ', 'Capital requirements. ... ', 'Switching costs. ... ', 'Access to distribution channels. ... ', 'Cost disadvantages independent of scale. ... ', 'Government policy. ... ', "Read next: Industry competition and threat of substitutes: Porter's five forces."]
728105
['Greater trade in goods and services both between nations and within regions.', 'An increase in transfers of capital including the expansion of foreign direct investment (FDI) by trans-national companies (TNCs) and the rising influence of sovereign wealth funds.']