The developing countries are faced with a hard decision to introduce or reduce trade barriers to save their economy from collapsing. Most states with poor economic management have introduced their country into a vast financial disaster than they have ever experienced before (JitaLounge, 2019). For instance, in the Venezuela case study, they relied heavily on one product to boost their economy, resulting in Dutch Disease, which implies that the local economy was diminishing because of high exports rather than imports. The removal or introduction of trade protection means that the local economy has a chance of surviving or improving depending on the kind of resources that the nation possesses.
According to JitaLounge (2019), a country with a variety of products has the right to introduce trade protection rules because it knows how to balance the trade with other resources within the state. Moreover, in Brazil's case, it is apparent that the country has been able to flourish economic wise because it has multiple resources, which makes them have an excellent financial plan when it comes to lowering and increasing their trade protection rules (D'Anieri, 2020). For instance, Brazil hosted the 2014 world cup because its economy had surpassed some powerful nations like the United Kingdom. Therefore, upgrading international laws in a country with various products can improve the local economy significantly.
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Conclusion
Lowering trade barriers to enjoying the global trade benefits should only be applicable in countries with various products. However, states that rely heavily on one product as a source of income should not introduce trade barriers because this can diminish their local economy. For instance, the United States can introduce trade barriers because they still have a wide variety of products to keep the local economy running.
Reference
D'Anieri, P. (2020). International politics: Power and purpose in global affairs . Cengage Learning.
JitaLounge. The Economic Failure of Venezuela . 14 Nov. 2019, www.youtube.com/watch?v=7_mThYXDr_s.
