Government Role and Trading Blocks
While there are powerful economic arguments for international trade, countries do impose restrictions on international trade. At the same time, regional agreements form one method to reduce or eliminate such restrictions among countries signing the agreement.
Research government role in trade and trade agreements using your textbook, University online library resources, and the Internet. Respond to the following:
Should governments promote or restrict international trade? Describe at least three ways in which countries can restrict trade. Irrespective of your answer, which position—promoting or restricting international trade—is most likely to find support as a national strategy? Why do governments commonly initiate policies that support both positions?
Research one regional trading bloc of which the United States is a member. Describe when the bloc was constituted, which countries are currently members, and which products are included in agreements. What is the economic justification for this trade bloc? Do you agree with the U.S. involvement in this trading bloc? What does the U.S. gain or lose?
2: Case Analysis—Google in China
Governments play an important role in business decisions and business operations. The case study in this assignment provides a fascinating view of the business environment in China.
Read the following case study:
Analyze the case. In your case analysis, address the following questions:
What is the basic situation described in the case? Summarize the Google experience.
What other companies are described in the case as having had to deal with Chinese censorship. What is your opinion of their actions?
What seems to be the policy of Chinese censorship?
What are some U.S. congressional initiatives related to Chinese censorship? Do you support those initiatives?
Did Google make the right choice? What were the different opinions expressed in the case regarding the Google choice?