Wednesday, November 20, 2019
Potential Costs of Adopting a Free Trade Regime Research Paper
Potential Costs of Adopting a Free Trade Regime - Research Paper Example Having a free trade regime requires more products to be created thus more waste gets ejected into the environment (Scott, 2003). Therefore, the environment would be heavily destroyed countries that manufacture goods for export than those that import. Workers in major importing countries would also pay heavily for their jobs (Scott, 2003). This is because; countries that import more have higher labor and production costs. These costs need to be cut, and thanks to a free market, their jobs would be moved to countries that have lower production and labor costs. The transfer of jobs to lower cost countries would lead to mass displacement of people (Jie, n.d., para. 2). This would be in order to create more space for manufacturing industries. Agricultural activities would be affected, as farmersÃ¢â¬â¢ land would be alienated. The government should intervene as all these issues affect its subjects. They should do so by regulating the disposal of waste and ensure job security. In addition , they should seek alternative means that lead to reduced production costs. As a result, jobs for many workers would be secured, and the cost of living will not be elevated. In conclusion, free trade regimes usually open borders for free trade, which bring the positive impact. However, the price to pay for this is really high, and; therefore, governments should intervene.