ECO231 Non-Tariff Barriers

Quotas

Quantity Restrictions on imports

Subsidies

money given to support international exchanges

Voluntary Export Restraints (VERs)

a sort of gentleman’s agreement to self-impose export limits, to avoid quota imposition

Dumping

Selling a product for an unfairly cheap price to undermine competition

Government Procurement

biased- discriminatory against foreign suppliers

Licensing

determines market access

Bureaucratic Delays and Customs Procedures

biased- discriminatory against foreign suppliers

Distortionary Exchange Rates

Artificial depreciation of currency (like yen and renminbi) can make exports more competitive

Boycotts (_____) and Embargoes (_______)

demand, supply

Trade Related Investment Measures (TRIMs)

rules that are applicable to the domestic regulations a country applies to foreign investors

Trade Related Intellectual Property Measures (TRIPs)

international respect of patents

Corruption

must be biased against foreign suppliers

Certification Procedures

must be biased against foreign suppliers

Norms and Standards

are more comfortable for domestic suppliers

Keiretsu and Chaebol

domestically privileged conglomerates that are often offered unfairly favourable financing or distribution access.

Exclusive National Monopolies

especially important in service sector- completely exclude foreign firms