Th4.5: International Competitiveness Flashcards
1
Q
How can the government improve international competitiveness?
A
by taking action to increase any of the factors which affect competitiveness
2
Q
How are supply side measures good?
A
improve productivity and flexibility and can involve taxes and deregulation
can encourage competition, forcing firms to be efficient in order to compete globally
place an emphasis on quality of products
3
Q
What else may be used?
A
exchange rate policies may be used and they may control inflation and economic stability
4
Q
What can they join or sign?
A
join the WTO or sign trade agreements
