The Politics of Trade in Steel Case Study MGT448

As the world grows and advances, industrial globalization occurs. Industrial globalization affects the economies of more(prenominal) nations throughout the world. One constancy whose globalization has affected the fiscal value and supply of its product is the brand industry. In the throw-up the ghost a few(prenominal) years, the poise industry has experienced an increased posit for mark, which in turn has caused the cost of steel to increase drastically. 1. Do you regard the scrub governing was correct in statuesque tariffs in March2002 on a wide range of steel imports?I accept that chairperson Bush needed to do something to comfort the US steel market. At the time that President Bush decided to impose temporary tariffs on steel imports, 16 steel manufacturers were already operating under nonstarter protective cover (Hill, 2005). The whole idea of the tariffs as explained by Leo Gerard, the chairwoman of the United Steelworkers of America, was to protect Americ an jobs by giving the industry a chance to rebound and to give the steel manufacturers a chance to upgrade their mills so that they could compete against the more efficient abroad producers (Hill, 2005). I believe the Bush administration tried, but in the end, the tariffs unless protected the meshwork of steel employees. 2. Who are the main beneficiaries of protective tariffs such as those oblige on steelimports? Who are the losers?

The main beneficiaries are vatic to be the American economy, domestic producers and employees against foreign competition, and to raise bullion for the national government (Hill, 2 005). On the other side, the increase in ta! riffs only hurt the consumers and foreign businesses by increasing the prices of steel and well-nigh starting a trade war with foreign economies. Since the US had established tariffs on steel, other countries had begun counteracting by appalling their accept tariffs against US exports and began to seek... If you want to get a lavish essay, nightspot it on our website: OrderCustomPaper.com

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