International Trade

Question 1

International Aid

Answer 1

Disaster relief

‘Soft loans’ (little or no interest)

‘Tied aid’ either loan or money that has to be used buying exports of the donar country

Question 2

Not international aid

Answer 2

Military aid

Hard loans

Question 3

When do MEDcs not favour trade liberalisation over international aid (freeing up trade restrictions ?

Answer 3

Until this threatens to undermine them in international markets

Question 4

What do costs of MEDcs include when favouring trade liberalisation ?

Answer 4

Have direct cost to primary sector

Question 5

How do LEDcs benefit from trade liberalisation?

Answer 5

Secondary NICs and primary benefit

Question 6

Which Asian coutry has developed rapidly through increase trade ?

Answer 6

South Korea promoted Hyundai

Question 7

Why have most African countries lagged behind ?

Answer 7

Aid created a dependency issue

(Evaluation of free trade as development policy primary sector focus)

Question 8

What do strategic trade theorists argue ?

Answer 8

Countries can develop quicker if key industries are protected

Question 9

According to the UN since the turn of the millennium what has happened to Africas economic growth ?

Answer 9

Has been higher than the global average , they credit this partly to the role of international trade

And investment from china in return for raw material

Question 11

Too much aid being spent on high tech capital which is ?

Answer 11

More expensive

Difficult to operate

Expensive to repair

Less likely to create jobs

Question 12

Example of too much aid spent on capital

Answer 12

Tractors for Indian farmers but no petrol station’s nearby

So went back to using old equipment

Question 13

How much spending on aid has the uk done on countries ?

Answer 13

Average 12 bn on countries like Pakistan , Ethiopia , Sudan