希爾國際商務(wù) 英文Chapter-7

International

BusinessBy

Charles

W.L.

HillCopyright?2017McGraw-HillEducation

.Allrightsreserved.NoreproductionordistributionwithoutthepriorwrittenconsentofMcGraw-H11eChapter

7Government

Policy

and

InternationalTradeCopyright?2017McGraw-HillEducation.Allrightsreserved.NoreproductionordistributionwithoutthepriorwrittenconsentofMcGraw-H?Free

trade

occurs

when

governments

donotattempt

torestrict

whatcitizens

can

buyfromanother

countryorwhat

they

canselltoanother

country?

many

nations

are

nominally

committed

to

freetrade,butintervenetoprotecttheinterestsof

politicallyimportantgroupsWhat

IsThe

PoliticalRealityOfInternationalTrade?Copyright?2017McGraw-HillEducation.Allrightsreserved.NoreproductionordistributionwithoutthepriorwrittenconsentofMaw-H?Governments

use

various

methods

to

intervene

inmarkets

including1.Tariffs-taxesleviedon

imports

thateffectivelyraisethecostof

importedproductsrelativetodomesticproducts?

Specifictariffs-leviedasafixedchargefor

each

unit

of

a

good

imported?

Advaloremtariffs-leviedasaproportionof

the

value

of

the

imported

goodHowDoGovernmentsInterveneInMarkets?Copyright?2017McGraw-HillEducation.Allrightsreserved.NoreproductionordistributionwithoutthepriorwrittenconsentofMaw-H?

Tariffs?increasegovernmentrevenues?force

consumers

to

pay

more

for

certain

imports?are

pro-producer

and

anti-consumer?

reducetheoverallefficiencyoftheworld

economyHowDoGovernmentsInterveneInMarkets?Copyright?2017McGraw-HillEducation.Allrightsreserved.NoreproductionordistributionwithoutthepriorwrittenconsentofMaw-H2.Subsidies-governmentpayments

todomesticproducers?

Subsidies

help

domestic

producers?

compete

against

low-cost

foreign

imports?

gain

export

markets?

Consumers

typicallyabsorbthecostsof

subsidiesHowDoGovernmentsInterveneInMarkets?Copyright?2017McGraw-HillEducation.Allrightsreserved.NoreproductionordistributionwithoutthepriorwrittenconsentofMaw-H3.Import

Quotas

-restrictthequantityofsomegoodthatmaybe

imported

intoacountry?

Tariff

rate

quotas

-a

hybrid

of

a

quota

and

atariff

wherea

lower

tariff

isappliedto

impor

withinthequotathantothoseover

thequota?

Aquotarent

-theextraprofitthatproducers

makewhen

supply

is

artificiallylimited

byanimportquotaHowDoGovernmentsInterveneInMarkets?Copyright?2017McGraw-HillEducation.Allrightsreserved.NoreproductionordistributionwithoutthepriorwrittenconsentofMaw-H4.VoluntaryExportRestraints-quotasontrade

imposedbytheexporting

country,

typicallyattherequestofthe

importing

country

’

s

government?

Import

quotas

and

voluntary

exportrestraints?

benefit

domestic

producers?

raise

the

prices

of

imported

goodsHowDoGovernmentsInterveneInMarkets?Copyright?2017McGraw-HillEducation.Allrightsreserved.NoreproductionordistributionwithoutthepriorwrittenconsentofMaw-H5.Local

Content

Requirements

-

demandthatsome

specificfraction

of

a

goodbe

produceddomestically?

benefit

domestic

producers?

consumers

face

higher

prices6.AdministrativePolicies-bureaucraticrulesdesigned

tomake

it

difficult

forimportsto

entera

country?

polices

hurt

consumers

by

limitingchoiceHowDoGovernmentsInterveneInMarkets?Copyright?2017McGraw-HillEducation.Allrightsreserved.NoreproductionordistributionwithoutthepriorwrittenconsentofMaw-H7.AntidumpingPolicies–alsocalledcountervailingduties–punishforeignfirmstha

engage

indumpingandprotectdomesticproducersfrom

“unfair

”foreigncompetition

?

dumping-sellinggoods

ina

foreignmarketbelowtheircostsofproduction,orsellinggoods

inaforeignmarketbelowtheir

“fair

”

market

value

?

enablesfirmstounloadexcessproduction

inforeignmarkets?

may

be

predatory

behavior-producers

useprofitsfromtheirhomemarketsto

subsidizeprices

inaforeignmarkettodrivecompetitorsou

ofthatmarket,andthenlaterraisepricesHowDoGovernmentsInterveneInMarkets?Copyright?2017McGraw-HillEducation.Allrightsreserved.Noreproductionordistributionwithoutthepriorwrittenconsentofaw-H?

Therearetwomainargumentsfor

governmentinterventioninthemarket1.Political

arguments-concernedwithprotecting

theinterestsofcertaingroupswithinanation

(normallyproducers),oftenattheexpenseofothergroups

(normallyconsumers)2.Economicarguments-concernedwithboostingtheoverallwealthofanation-benefitsboth

producersandconsumersWhyDoGovernmentsInterveneInMarkets?Copyright?2017McGraw-HillEducation.Allrightsreserved.Noreproductionordistributionwithoutthepriorwrittenconsentofaw-H1.Protectingjobs-

themost

commonpolitical

reasonfor

traderestrictions?

results

from

political

pressures

by

unions

orindustriesthatare"threatened"bymoreefficient

foreign

producers

and

have

more

politicalcloutthanconsumersWhatAreThe

PoliticalArgumentsForGovernment

Intervention?Copyright?2017McGraw-HillEducation.Allrightsreserved.Noreproductionordistributionwithoutthepriorwrittenconsentofaw-H2.Protectingindustries

deemed

importantfornationalsecurity-industriesareofprotected

because

they

are

deemedimportantfornationalsecurity?

aerospaceorsemiconductorsWhatAreThe

PoliticalArgumentsForGovernment

Intervention?Copyright?2017McGraw-HillEducation.Allrightsreserved.Noreproductionordistributionwithoutthepriorwrittenconsentofaw-H3.Retaliationforunfairforeigncom

petitiowhengovernmentstake,

or

threaten

totake,specificactions,othercountries

mayremove

trade

barriers?

ifthreatenedgovernmentsdonotbackdown,

tensionscanescalateandnew

tradebarriers

may

be

enacted?

riskystrategy4.Protectingconsumersfrom“

dangerous

”

products-limit

“unsafe

”

productsWhatAreThe

PoliticalArgumentsForGovernment

Intervention?Copyright?2017McGraw-HillEducation.Allrightsreserved.Noreproductionordistributionwithoutthepriorwrittenconsentofaw-H5.Furtheringthegoalsofforeignpolicy-

preferentialtradetermscan

be

granted

tocountriesthat

a

governmentwants

to

buildstrongrelationswith?

trade

policy

can

also

be

used

to

punish

rogue

statesWhatAreThe

PoliticalArgumentsForGovernment

Intervention?Copyright?2017McGraw-HillEducation.Allrightsreserved.Noreproductionordistributionwithoutthepriorwrittenconsentofaw-H6.Protectingthehumanrightsofindividualsinexportingcountries-throughtradepolicyactions6.Protectingtheenvironment-internationaltrade

isassociatedwithadeclineinenvironmentalquality?

concern

over

global

warming?

enforcementofenvironmentalregulationsWhatAreThe

PoliticalArgumentsForGovernment

Intervention?Copyright?2017McGraw-HillEducation.Allrightsreserved.Noreproductionordistributionwithoutthepriorwrittenconsentofaw-HAstheOpeningCase,“U.S.TariffsonChineseSolarPaBenefitMalaysia,”shows,governmentinterventiontoprotectindustriesfromunfaircompetitiondoesnotalresultinbusinessescreatingjobsintheirhomecountIfyouweretheheadofacompanyprotectedfromforeigncompetitionviatariffs,importquotas,orsubsidies,youfeelobligatedtomaintainproductionfacilitiesihomecountry,evenifdoingsowouldmeanhigherproduction

costs

and

lower

profitmargins?Whyor

whynCopyright?2017McGraw-HillEducation.Allrightsreserved.Noreproductionordistributionwithoutthepriorwrittenconsentof-c7raw-H1.The

infant

industryargument-anindustryshouldbeprotecteduntilit

can

developandbeviableand

competitiveinternationally?

acceptedas

a

justificationfor

temporary

traderestrictionsundertheWTOWhatAreTheEconomicArguments

ForGovernment

Intervention?Copyright?2017McGraw-HillEducation.Allrightsreserved.Noreproductionordistributionwithoutthepriorwrittenconsentofaw-H?

Question:When

isan

industry

“

grownup

”

??

Criticsarguethatifacountryhasthepotentia

todevelopaviablecompetitiveposition,itsfirms

should

be

capable

of

raising

necessary

fundswithoutadditionalsupportfromthegovernmentWhatAreTheEconomicArguments

ForGovernment

Intervention?Copyright?2017McGraw-HillEducation.Allrightsreserved.Noreproductionordistributionwithoutthepriorwrittenconsentofaw-H2.Strategictradepolicy

–first-moveradvantagescanbe

important

to

success?

governments

can

help

firms

from

their

countriesattaintheseadvantages?

governmentscanhelpfirmsovercomebarrierstoentryintoindustries

whereforeig

firmshavean

initial

advantageWhatAreTheEconomicArguments

ForGovernment

Intervention?Copyright?2017McGraw-HillEducation.Allrightsreserved.Noreproductionordistributionwithoutthepriorwrittenconsentofaw-H?Paul

Krugman

argues

that

strategic

tradepoliciesaimedatestablishingdomesticfirmsina

dominantpositioninaglobalindustryarebeggar-thy-neighborpoliciesthatboostnationalincome

at

the

expense

of

other

countries?

countriesthatattempttousesuchpolicieswillprobablyprovokeretaliation?Krugmanarguesthatsincespecial

interestgroupscaninfluencegovernments,strategictradepolicyisalmostcertaintobecapturedbysuchgroupswhowilldistortit

to

their

own

endsWhenShouldGovernmentsAvoid

Using

Trade

Barriers?Copyright?2017McGraw-HillEducation.Allrightsreserved.Noreproductionordistributionwithoutthepriorwrittenconsentofaw-H?UntiltheGreatDepressionofthe1930s,mostcountrieshadsomedegreeofprotectionism?Smoot-HawleyAct(1930)?AfterWWII,theU.S.andothernationsrealizedthevalueoffreertrade?establishedtheGeneralAgreementonTariffsandTrade(GATT)-amultilateralagreementtoliberalizetradeHowHas

TheCurrentWorldTradingSystemEmerged?Copyright?2017McGraw-HillEducation.Allrightsreserved.Noreproductionordistributionwithoutthepriorwrittenconsentofaw-H?In

the

1980s

and

early

1990s

protectionist

trends

emerged?

Japan

’

sperceivedprotectionist

(neo-mercantilist)policiescreatedintensepolitic

pressuresinothercountries?

persistenttradedeficitsbytheU.S?

useofnon-tariffbarriersincreasedHowHas

TheCurrentWorldTradingSystemEmerged?Copyright?2017McGraw-HillEducation.Allrightsreserved.Noreproductionordistributionwithoutthepriorwrittenconsentofaw-H?

TheUruguay

Round

ofGATTnegotiationsbegan

in

1986focusingon1.Services

and

intellectualproperty?going

beyond

manufactured

goods

to

addresstradeissuesrelatedtoservicesand

intellectu

a

property,andagriculture2.TheWorldTradeOrganization?it

was

hoped

that

enforcement

mechanismswouldmake

theWTO

a

more

effectivepoliceman

oftheglobaltraderulesHowHas

TheCurrentWorldTradingSystemEmerged?Copyright?2017McGraw-HillEducation.Allrightsreserved.Noreproductionordistributionwithoutthepriorwrittenconsentofaw-H?TheWTO

encompassed

GATT

alongwith

twosistersorganizations?

theGeneralAgreementonTrade

inServices

(GATS)?

working

to

extend

free

trade

agreements

toservices?

theAgreementonTradeRelatedAspectsofIntellectualPropertyRights

(TRIPS)?

workingtodevelop

common

international

rulesforintellectualpropertyrightsHowHas

TheCurrentWorldTradingSystemEmerged?Copyright?2017McGraw-HillEducation.Allrightsreserved.Noreproductionordistributionwithoutthepriorwrittenconsentofaw-H?TheWTOhas

emerged

as

aneffectiveadvocateand

facilitatoroffuturetradedeals,particularsuchareasas

services?

159members

in2013?

sofar,

theWTO

’

s

policing

and

enforcementmechanismsarehavingapositiveeffect?

mostcountrieshaveadoptedWTOrecommendationsfortradedisputes?

a

magnet

for

various

groups

protesting

freetradeHowHas

TheCurrentWorldTradingSystemEmerged?Copyright?2017McGraw-HillEducation.Allrightsreserved.Noreproductionordistributionwithoutthepriorwrittenconsentofaw-H?The

current

agenda

of

the

WTO

focuseson?

theriseofanti-dumpingpolicies?

thehighlevelofprotectionisminagriculture

?

thelackofstrongprotectionforintellectualpropertyrightsinmanynations?

continued

high

tariffsonnonagriculturalgoodandservices

inmanynationsWhat

IsTheFutureOfTheWorldTradeOrganization?Copyright?2017McGraw-HillEducation.Allrightsreserved.Noreproductionordistributionwithoutthepriorwrittenconsentofaw-H?TheWTOlaunchedanewroundoftalksat