International Trade of Developing Countries

1140 Words5 Pages
International trade of developing countries is the classic weak vs. strong dichotomy, and underdeveloped or developing countries cannot make it solely on their own efforts; the have nots need help from the haves. Developed nations trumpet the claim that the answer to developing nations’ international trade issues is untrammeled or open market activity as opposed to government intervention by developed nations’ governments. This begs the question as to what extent the governments of developed nations are or should be responsible for supporting developing countries’ growth in international trading markets. Often the protectionist actions of developed nations’ governments to enhance their own international trading activities are the very hindrances faced by the developing countries, so much so that the developed nations are morally obligated to support the developing countries to offset the roadblocks created by these same developed countries with tariffs, quotas and other trade barriers. Trade Problems of Developing Nations In addressing the question, “Fair trade: Is it always ‘unfair’ for the developing countries” (Aditya, 2013), economists have argued that “the implication of fair trade on poverty [dirty exports and use of child labour] depend[s] on the sources of perverse comparative advantage” (p. 20). While developed nations decry the use of child labor in the garment industry in many developing countries and dirty exports of goods with high pollution content such as ferrous and non-ferrous metals, refined petroleum, and paper manufacture, capital flight from developed countries to these developing economies belies the very criticisms made of these industries. As Aditya (2013) points out, “a ban on the use of child labour... ... middle of paper ... ...87). True protection - Concepts and their role in evaluating trade policies in LDCs. Journal of Development Studies, 23(2), 200-219. Manu, F. A. (2009). Import substitution and export promotion: A continuing dilemma for developing countries. Journal Of International Business & Economics, 9(1), 100-104. Oxfam International. (2002). Oxgam annual report. Retrieved from http://www.oxfam.org/en/ annual-reports Singh, J. P. (2006). Coalitions, developing countries, and international trade: Research findings and prospects. International Negotiation, 11(3), 499-514. doi:10.1163/157180606779 155228 Subasat, T. (2009). Does simultaneous implementation of import-substitution and export-promotion neutralize each other? Journal Of Developing Areas, 43(1), 45-63. Winham, G. R. (1986). International trade and the Tokyo round negotiation. Princeton, NJ: Princeton University Press.
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