国_际_贸_易_实_务.docVIP

Import and Export Practices Reasons for International Trade There are three main reasons:(1). Resource reasons: The uneven distribution of resources such as the natural resources,skilled workers and capital resources. (2). Economic reasons: it can be explained by the principle of Absolute advantage and the principle of Comparative advantage (3). Political reasons: Political objectives can sometimes outweigh economic considerations between countries. Benefits of International Trade (1). Cheaper goods :Countries trade because there is a cost advantage. Competition in the world market remains constant. (2). Greater variety of good when good come from more countries. (3). Wider market with increasing number of trading partners. (4). Growth of economy. Reasons for trade restrictions: (1).Wanting a diversified economy. (2)Protecting their vital industries. (3)For an infant industry. (4)Protecting the domestic jobs(5)For pure political reasons 4. Kinds of restrictions: trade restrictions take the forms of tariff barriers and non-tariff barriers . Tariff: is a duty or fee levied on goods being imported into (or exported of) a country. There are revenue tariff and protection tariff. For duty, there are import duty, export duty, import surtax(an additional tax that is temporary and discriminatory to cope with international payment difficulties and to prevent dumping).countervailing duty, (anti-dumping duty: a fee collected by the import country to prevent dumping), (specific duty: a tax of a certain sum assessed and collected on an article without reference to its value or market) , (Ad valorem duty:a tax which is graded according to the cost or market value,of the article taxed), Mixed/compound duty. Non-tariff barriers: (Quota:is a quantitative restriction or an upper limit in terms of physical or value), (import license:a permit for import issued by the government to control the import of goods),(foreign exchange control: means various forms of restriction imposed