question archive Overall we see that within the realm of trade liberalization we see the reduction and/or removal of restrictions of barriers, such as tariffs, on the free exchange of goods between nations
Overall we see that within the realm of trade liberalization we see the reduction and/or removal of restrictions of barriers, such as tariffs, on the free exchange of goods between nations
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Overall we see that within the realm of trade liberalization we see the reduction and/or removal of restrictions of barriers, such as tariffs, on the free exchange of goods between nations. The results of such actions is that trade liberalization entices more trade in commerce and the pursuit of more aggressive agreements whereby price and supply is at a maximum to meet demand. What would you say is the biggest challenge to this process?
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The biggest challenge to this process is with the perspective of producers. The producers would face the sharp-cut competition, and they would have to make the lower costs of production as possible. The reduction in tariffs and free zones in trade would raise the competition as the producers would offer their goods at the lower possible prices due to cheap labor costs in different nations. Consumers could also face the problem of inferiority in the nature of goods. Hence, the overall efficiency would have risen on the part of consumers, but producers would have to exhibit the massive cut-throat competition in the market.
