A Review and Critique of the Smoot Hawley Plan Essay

Countries and governments often pursue vigorous economic nationalism as a form of remedy against domestic economic slowdown. However, pursuing this endeavor may result in unexpected outcomes both at home and abroad. Proponents of economic nationalism argue that supporting local industries prevents precious foreign exchange from leaving the country and enables local industries to develop and compete directly against foreign competitors (who, in some cases, directly threaten the local competition due to their cheaper prices andor better quality of their products). Therefore, economic nationalism causesdirect financial damage to foreign companies who conduct their businesses completely in line with local laws. This causes disenfranchisement among foreign investors and may result in decreased FDI (Foreign Direct Investment) in the future. Customers prefer the products of these foreign companies due to their low cost and better quality. By influencing the consumer into choosing the more expensive local option, the government is deliberately forcing the consumer to pay more for something that is not value-added. In addition, economic nationalism ensures that local companies can no longer be overshadowed by foreign competition. With their market share guaranteed and protected, theselocal companies then stop innovating their products and processes. Competition is the most important ingredient in developing new ideas and products and with this competition gone, local companies fall gradually behind their foreign competitors. This causes significant damage to the local industry in the long run. Local companies, taking advantage of an absence of competition, may also increase their product prices exorbitantly. The companies know that consumers have no other option but to buy the desired products from them so they seek to extract maximum profit from the unsuspecting buyers. These additional exorbitant fees are nothing more thanmonetary exploitation of the highest order as they feed on a consumers disability to select the desired product from a plethora of options previously available. Finally, economic nationalism may provoke tit for tat responses in other parts of the globe where local governments may also...

Comments

Post a Comment

Popular posts from this blog

Character Analysis of Basil Hallward in The Picture of Dorian Gray, a Novel by Oscar Wilde Essay

The main character in The Picture of Dorian Gray, Dorian, is a man too easily influenced by his surroundings. He is quoted as saying, Basil Hallward is what I think I am Lord Henry is what the world thinks me Dorian is what I would like to bein other ages, perhaps (Wilde). This comparison falls in line with the moral of the story because Dorian is stuck with eternal youth and beauty even though he has a wicked soul. This causes different views of him by people who observe his daily life. Dorian is a sponge throughout the novel that absorbs everything and allows it to shape his personality, morals, and actions. Dorian Gray takes influence from Lord Henry, Basil Hallward, and the culture of society during which the novel was written. Lord Henry is the epitome of a wealthy, hedonistic gentleman seeking only pleasure, with little regard to cost or consequence. Lord Henry Wotton outwardly propounds hedonism, but it is his extreme egotism that drives him to manipulate both Basil Hallward a
Read more

An Analysis of the Character of Chichikov in the Poem, Dead Souls by Nikolai Gogol Essay

Dead Souls takes place in the Russia of the late 1800s, where, unlike in America, one must be born into a prosperous family in order to have opportunities. The main character, Chichikov, is clever enough to develop a scheme in which he can rise from being a petty clerk to a respected landowner. In order to do this, Chichikov moves into a new town, pretending to already be a landowner, and begins a quest to buy the names of dead serfs who have not yet been officially reported dead. Each person that Chichkov presents this offer to has a different reaction, starting with the shy and introverted Manilov. Though he does not understand Chichikov's need for the names of these dead serfs, Manilov is a character that is so desperate for company that it does not take any effort to trick him into selling his dead souls cheaply. However, as Chichikov continues his journey, he starts to deal with more clever landowners who become suspicious of his scheme. Chichikov finds that the townsmen know
Read more

A Literary Analysis of the Third Twin by Ken Follett Essay

The Third TwinThe Third Twin by Ken Follett is a type of mystery book. It makes you look at different aspects of the story. When you think you know whats happening it is not always what you think.Dr. Jeannie Ferrami, a scientist funded by a university who is doing a study on twins is one of the main characters in the story. Jeannie Ferrami is tall with long brown hair and is also very athletic. Steve Logan a student at another college is also a very important character in the story. Berrington Jones the head of the college funds Dr. Jeannie Ferrami until Jeannie discovers something Berrington didnt want her to know. Ricky Phillips Berringtons son is a twin just and he plays a small part but with a big impact on the story. Lisa Miller who is Jeannies best friend comes early into the story playing a very dramatic role, another small character is Dennis Pinker one of the twins in the story who is a murderer and is also being studied He is one of Steve Logans twin brothers.Lisa Miller and
Read more