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When a Country Allows Trade and Becomes an Importer of a Good

Question

When a Country Allows Trade and Becomes an Importer of a Good?

Answer

Some industries may lose because of the import of a good, but on the other hands, some additional gain more benefits and this benefits excess the loose. For instance: the domestic industry of good can only produce a small quantity for the country while the country needs more production of this good. They will import the good if it’s better than produce the good by themselves although it may kill the domestic production.

I think your problem goes to the issue of free trade. It depends on your interest. The buyer gains by obtaining what he/she requires at a price agreed on; the foreign investor gets the capital, and both are comfortable, it would seem that this is freedom of action. The obstacle may lie in society at large. Do we live in a vacuum? Does my purchasing that good hurt my fellow countryman/woman? Will it sequentially help my country or hurt it? Debatable, one can argue that many in impoverished areas depend on labor-intensive work to make a living and buying that goodwill injure them or others may say our efforts can be more concentrated in other areas of business which will ultimately help the poor. This is a very common right/left the debate.

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