4.1.4 protectionism Flashcards
1
Q
Define protectionism
A
Protectionism involves protecting domestic business and home industries against foreign competition and limiting number of imports
2
Q
What is one of the main government guidelines linked to protectionism
A
Free trade
- can benefit all countries be creating opportunities for growth and economic prosperity
3
Q
What are some benefits of free trade
A
It leads to goods and services become more accessible they also become cheaper
4
Q
What is a risk of protectionism
A
Protectionism may force businesses to use more expensive domestic suppliers, therefore making them less competitive
5
Q
What are some examples of protectionism in practise
A
- Tariffs
- subsidies
- state procurement
- soft loans
- Technical Barriers
- quotas
