Explore BrainMass

Explore BrainMass

    Commercial Policy & Protection

    A commercial policy is a set of rules that are intended to change international trade flows. These regulations are usually to restrict imports. Every country has a trade policy which public officials formulate to fit their country’s needs.  The goal of these policies is to boost the nation’s international trade. It needs to help a nation’s international trade run smoothly by setting clear standards and goals which can be understood by potential trading partners. In some cases, groups of nations work together to create mutually beneficial trade policies.

    Commercial policy and involves different types of action. These can include the elimination of quantitative restrictions or the reduction of tariffs. There are eight objectives of commercial policies. These include:

    • To appreciate trade with other nations
    • To protect domestic market prevailing in the country
    • To increase the export of particular product which will help in expanding domestic market
    • To prevent the imports of particular goods for giving protection to infant industries or developing key industry or saving foreign exchange
    • To encourage the imports of capital goods for speeding up the economic development of the country
    • To restrict the imports of goods which create unfavourable balance of payments
    • To assist or prevent the export or import of goods and services for achieving the desired rate of exchange
    • To enter into trade agreements with foreign nations for stabilizing the foreign trade.

    Many nations attempt to protect their industries with commercial policies that place a heavy burden on importers. This allows the domestic producers of goods and services to get ahead in the market with lower prices or more availability. While other countries avoid trade barriers and promote free trade. These give domestic producers no special treatment and international producers are free to bring in their products. 

    © BrainMass Inc. brainmass.com May 28, 2024, 10:31 pm ad1c9bdddf

    BrainMass Solutions Available for Instant Download

    Prevention of Illegal Copying of Music Files

    Discuss and post your responses to the statement regarding the best solution for preventing someone from making illegal copies of music files. Do you concur that the best solution currently available is for the courts to enforce property rights and for the recording companies to pursue illegal music file sharers and hit them wi


    Does free trade harm the environment? Environmentalists argue that trade liberalization harms the environment. The decisions of the World Trade Organization (WTO) in particular have been the subject of much criticism. Carbaugh has described environmentalists' three primary assertions (Carbaugh, 2004): 1. Trade liberalizati

    Which is best for a sale in Egypt?

    You have a $100,000 sale in Egypt. 1. Please explain the advantages and disadvantages associated with using: a) a letter of credit, b) a bill of exchange (or draft), c) and the Export-Import Bank of the United States. 2. Explain which one you would use for the sale in Egypt. 3

    Callaghan Motors' bonds have 10 years remaining to maturity.

    I am having a really hard time fully understanding how to workout these questions. I would like your assistance, so I may understand how to workout other assignments. 7-1 Bond valuation Callaghan Motors' bonds have 10 years remaining to maturity. Interest is paid annually; they have a $1,000 par value; the coupon interest ra


    What should the government's role be with respect to regulating accounting firms in the wake of mismanagement and accounting irregularities? ? Was the government slack? ? What role do you think political figures played in the irregularities? ? Were they involved in the scandal?