Governments had issued a policy called free-trade agreement to permit international-manufactured products to be sold in the international market allowing consumers around the world to be able to purchase it. To some extent, I consider that this development is profitable. However, I also believe this process highly affects the economic status of a nation.
There are several advantages brought by international trade. First of all, open trade provides an extensive choice of goods for consumers around the world. This gives access for the consumers to have high-quality as well as affordable goods. Therefore, people can fulfil their requirements. Another positive side of international trading is the availability of certain products which are unable to be manufactured in third world countries. Sophisticated technology such as high technological machines and computers for example, are mostly produced in developed countries such as Japan or Germany, but because of the open market, these products are available in developed nations. So that people in the developing world can adopt the newest technology products.
However, this development also leads to abominable consequences. The free-trade policy might hinder a national economic growth due to the fact that it can make the buyers leaving local products and prefer to buy imported goods having better qualities and prices. In Indonesia for instance, many people choose to purchase electronics produced from Japan having better in terms of qualities and competitive prices. A result, several local electronic companies have to fire their workers to cut their expenses. In the long run, this will badly affect the nation’s economic growth as well as decreasing public prosperity.
To sum up, although international trade agreement making people can access international products easily, this phenomenon also can have negative effects on the nation’s development.
Governments
had issued a policy called free-trade agreement to permit international-manufactured
products
to
be sold
in the
international
market allowing consumers around the
world
to be able to
purchase
it. To
some
extent, I consider that this development is profitable.
However
, I
also
believe this process
highly
affects the economic status of a nation.
There are several advantages brought by
international
trade.
First of all
, open trade provides an extensive choice of
goods
for consumers around the
world
. This gives access for the consumers to have high-quality
as well
as affordable
goods
.
Therefore
,
people
can fulfil their requirements. Another
positive
side of
international
trading is the availability of certain
products
which are unable to
be manufactured
in third
world
countries. Sophisticated technology such as high technological machines and computers
for example
, are
mostly
produced in
developed countries
such as Japan or Germany,
but
because
of the open market, these
products
are available in developed nations.
So that
people
in the developing
world
can adopt the newest technology products.
However
, this development
also
leads to abominable consequences. The free-trade policy might hinder a national economic growth due to the fact that it can
make
the buyers leaving local
products
and prefer to
buy
imported
goods
having better qualities and prices. In Indonesia
for instance
,
many
people
choose to
purchase
electronics produced from Japan having better in terms of qualities and competitive prices. A result, several local electronic
companies
have to
fire their workers to
cut
their expenses. In the long run, this will
badly
affect the nation’s economic growth
as well
as decreasing public prosperity.
To sum up, although
international
trade agreement making
people
can access
international
products
easily
, this phenomenon
also
can have
negative
effects on the nation’s development.