International Trade 2 Essay Example | Topics and Well Written Essays - 250 words

International Trade 2 - Essay Example Free trade is not perfect and as you mentioned in your response it also has disadvantages. In the United States a lot of factories have closed down because the firm’s owners decided to move the operation oversees in search of cheaper labor and lower operating costs. I agree with you that imposing barriers of trade is a counterproductive strategy. Most countries around the world have moved away from protectionism practices that impose barriers of trade and instead they are joining the free trade movement. There are many bilateral and multilateral trade agreements worldwide including NAFTA, MERCOSUR, TPP, and G-3. You are correct in your premise that the decision of using free trade should be made by the governments of each nation. Sometimes governments have to move away from free trade in certain industries in order to protect a local product. Protectionism practices are often used in the agricultural industry. Trucknews.com. 23 March 2012. â€Å"NAFTA trade totals reach record level in 2011 at $904 billion. 8 April 2013.