BUSI 2701 Chapter Notes - Chapter 5: Mercantilism, World Trade Organization, Wassily Leontief
20 Apr 2016
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India used to be known for producing knock offs of panted drugs therefore foreign firms refused to do business w/ them over fears of intellectual property rights. Then india signed agreements w/ wto to be in compliance w/ their rules in ipr. Now in response india has expanded pharmacy programs in schls, and small businesses are investing in innovations. Free trade: absence of barriers to the free flow of g&s between countries. A country is now able to get what they don"t have. Export/import of a certain products (even ones the country produces itself) can have a positive impact on the economy that outweighs the cons it places on workers who lose their jobs b/c manufacturing moved abroad etc. 7 int trade theories: mercantilism: economic philosophy: country should encourage exports while discouraging imports. 16th century, maintain trade surplus (accumulate gold/silver increase national wealth)
