Question

You are the part of International Trade Organization representing the interest of a third world country. Discuss the arguments for trade restrictions under protectionist policy. Justify with substantial reasoning.

Answer 1

-->Third world countries are mostly developing or least developed countries marked by gross inequalities, high poverty, low wages, low industrialisation,low human capital,less innovation etc. If I'm a representative of third world countries, I would strongly argue in favour of trade restrictions placed by third world countries because, Firstly, these countries have low development backed by traditional sectors which forces developed countries to provide more relief and support interms of economic growth and development. Secondly,the governments in these countries have less capacity to deal with any unforeseen situation which makes developed countries to provide more aid and more time to adjust.Thirdly, agriculture has been the main stay of these economies which requires protection from industrialised goods of developed countries.Fourth, developed countries often dump cheap manufacturing goods in third world countries hurting their nascent industrialisation process.