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The barriers to international tradeСодержание книги
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Tariffs are duties or taxes on imports. There are two basic types. Revenue tariffs (фискальный тариф, фискальные пошлины) are levied as a way to raise money. They are usually low relative to the price of an item. If revenue tariffs are set too high, they discourage buyers and don/t raise revenue for the government. Protective tariffs (протекционистский тариф; защитная, протекционистская пошлина) are levied to protect a domestic industry from foreign competition, rather than to raise money. They discourage buyers by making the foreign product more expensive than a similar item produced in a native country. Quotas. Restrictions on the number of specific goods that can enter the country from abroad are called quotas. Like protective tariffs, quotas limit the amount of foreign competition an industry will have to face. By restricting imports, quotas reduce the supply of particular items in domestic markets and cause their prices to rise. For example, the United States has quotas that restrict imports of textiles and apparel (одежда). Preservation of standards. Government rules and regulations can also make it difficult to import goods. For example, the government may require people in other nations to meet labor standards that require higher pay and benefits. Or it may require producers in other countries to meet strict environmental standards. The main purpose of the standards may be to preserve the quality of people’s lives, but they also restrict market competition. This occurs because producers in those nations who are unable to meet the standards will be prohibited from exporting their products to the protected domestic market. Other tactics. Other strategies also affect the free flow of trade. One is export subsidy (денежное ассигнование на экспорт), a payment by a country to its exporters, enabling them to sell their products abroad at a lower price than at home. For example, European governments subsidize their farmers, who are then able to undersell (продавать(ся) дешевле других) others farmers in the world market. In the second half of the 20th century, there were many efforts to tear down trade barriers to enable people of different nations to exchange more freely. Leading these efforts was the General Agreement of Tariffs and Trade (GATT), which was replaced by the world Trade organization (WTO) after 1944. The activities of GATT and the WTO were multilateral, since they involved joint efforts of many nations to reduce trade barriers. In contrast, regional organizations, such as Northern American Association (NAFTA) and the European Union have taken steps to reduce trade barriers among nations of a particular area of the world. (Based on: JA Economics) ACTIVE VOCABULARY
IV. Here are some special export-import provisions within the frameworks of PSA. Read and translate this text from Russian into English and be ready for its discussion on the basis of active vocabulary, key terms quiz, review and discussion questions.
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