Export Assistance and Incentives

One of the major advantages of trading is that it allows producers to concentrate or specialize their work in the type of goods they produce best. When people decide to specialized in a specific profession an become doctors, farmers, teachers, or any other profession within an economy, they will be able to produce goods and offers different services that can be trade for any goods or services they may need. In this same way countries can become specialized in the production of specify products and/or services and trade those with other countries. However, trading and importing products and services from other countries also has its disadvantages. As a result of the different products imported governments impose certain restrictions and limitations to protect the domestic production and market of every country involve in any kind of trading transactions. Governments have imposed taxes on trading transactions adding them to the cost of importation, and have the purpose of restricting and/or limiting the imports of goods and services into a country. These government

(2004). Handbook of international trade (Vol. 1) . United Kingdom: Blackwell Publishing Ltd.. Hata, P. (2008, June 18). Benefits of international trade.

Another contributing factor in boosting the economy was tax code incentives with the tax exemptions ("Tax Policy…”). This incentive allowed for a corporation that was more than 80% foreignly owned to have 100% of its dividends to be paid to the parent company ("Tax

a number of gains to be obtained from international trade, such as lower prices, greater choice,

Cuts in protection have increased imports but the increased efficiency has led to a comparable rise in exports. The value of exports plus imports of goods and services has risen from 32% of GDP in 1975 to 48% of GDP in 2000 (ABS), reflecting

➢ Taxation – firms functioning when dealing with a different country the subject to that country’s laws and regulations.

1) The scope of any economy is that of creating a balance between its exports and imports, or exporting more than importing, in order to generate national gains and revenues. Within the United States however, it has often happened that the totality of the imports exceeded the totality of the exports. The result of

The useful information that can be obtained here are the tariffs and quotas for specific goods, the applications for export permits and certificates, the export applications needed for particular items, the export controlled products list, the notices to exporters, the export control systems, the relevant guides/handbooks, and the contact information for the Trades Controls Bureau.

considering a twenty-five percent tariff and the purpose will be predominantly protective in nature, but

It lacks continuous improvement in its production process in order to reduce production costs. (Columbia’s production cost is higher than that of competitors.)

In addition to facilitating the system of landholding and labor use for the production of exports, governments used tax exemptions, subsidies for new plantings, and waivers for duties on imported inputs to further development of the export sector. The state also used its borrowing power to obtain funds abroad for the infrastructure that supported this sector.

In this I am going to assess the methods to increase trade between countries and the methods to restrict trade between countries. When asses the methods of encouraging and restricting trade I will talk about the purpose for the methods of promoting and restricting international trade, identify how and why they might be used and I will decide how useful each method is giving appropriate reasons for it. International trade is the exchange of goods and services between countries.

Managing the how goods and services enter or leave this country (import/export) is an important process that allows for us to control the economic status of our nation. Sometimes imposing tariffs on the goods imported balances our labor cost, resources and government supported industry. A tariff by definition is a tax or duty to be paid on a particular class of imports or exports.

and regional import duties of 0% along with a non-regional rate of 6%. The target dividend

meant that imported product were subject to import taxes (22%) and it also involved a