Advertisements
Advertisements
Question
How has liberalisation of trade and investment policies helped the globalisation process?
Solution
Liberalisation of trade and investment policies has helped the globalisation process by making foreign trade and investment easier. Earlier, several developing countries had placed barriers and restrictions on imports and investments from abroad to protect domestic production. However, to improve the quality of domestic goods, these countries have removed the barriers. Thus, liberalisation has led to a further spread of globalisation because now businesses are allowed to make their own decisions on imports and exports. This has led to a deeper integration of national economies into one conglomerate whole.
APPEARS IN
RELATED QUESTIONS
What is meant by trade barrier?
"Advancement of international trade of a country is an index to its prosperity." Support the statement with suitable examples
Why did the Indian Government put barriers to foreign trade and foreign investments after independence? Analyse the reasons.
Differentiate between investment and foreign investment.
What is the meaning of 'investment'?
What was the reason for putting barriers to foreign trade and foreign investment by the Indian government? Why did it wish to remove these barriers?
Distinguish between investment and foreign investment.
Explain any five facilities available in the special economic zones developed by the Central and State Governments to attract foreign investment.
Answer the following question.
How has foreign trade been integrating markets of different countries? Explain with examples.
Analyze the contribution of foreign investment in globalization.
Entry of MNCs in a domestic market may prove harmful for:
Foreign trade results in connecting the markets or integration of markets:
Foreign Trade creates an opportunity for the producers to:
"Foreign trade has been the main channel of connecting countries for a long time." Analyse the statement.
Evaluate the impacts of opening foreign trade on the global economy by identifying the appropriate statements among the following options:
- The choice of goods in the markets increase.
- Producers from two countries closely compete against each other despite the distance between their locations.
- Foreign trade thus results in connecting the markets or integration of markets in different countries.
- The quality of the product is always good.
“Foreign trade results in connecting the markets in different countries.” Support the statement in the context of globalisation.
