World Trade Organization, General Agreement on Tariffs and Trade - Assignment Example

Business Law Project Name Instructors’ name Name of institution Subject Number of words Date Task 1 Definitions Transnational institutions WTO In full WTO stands for World Trade Organization; it is an organization that deals with the global rules of trade that takes place between nations. Its main function is to ensure that trade flows as smoothly and freely as possible. Workforce This is a pool of labor in any form of employment. It is a term that is used to refer to the people who work for a single industry/company. Labor law We can also refer them as employment laws. They are a body of laws which addresses working people’s rights of, restrictions on as well as their organizations mediating any aspect of relationship between trade unions, employees and employers. General Agreement on Tariffs and Trade (GATT) This is an agreement that covers international trade in goods. IMF International Monetary Fund is an organization that works towards fostering global monetary cooperation and secure financial stability. Gdp/capita GDP stands for Gross Domestic Product which is the approximation of the value of goods that are produced per person in a given country equal to the country’s GDP and the divided by the total population in the country. It is most useful when comparing one country to another for it is a great indicator of a country’s economic performance. Emiratization This is the UAE government initiative seeking to employ its citizen in an efficient and meaningful manner in the private and private sector. European Union This is a political and economic union of 27 European countries; it operates on intergovernmental negotiated decisions by the very member states. Trade sanction This is a trade penalty imposed onto a nation by another or others. Poverty This is a situation where people cannot satisfy their basic needs leading to the deprivation of food, shelter, clothing and money. According to the United Nations, it is a situation where people live under a dollar a day. Privatization This is the process of transferring ownership of a business or public service from the public sector or from state ownership to private sector. Import control This is an action taken by a government to limit the number of goods that can be brought from other countries with the purpose of selling. Quota system Legislation aimed at limiting by nationality the number of people/immigrants who enter the U. every year. Taxation This is the means by which a government finances their expenditure through the imposition of charges on citizens as well as the corporate entities. Gratuity This is the money given an in return is some service or favour in a particular. Copyright This is the exclusive legal right that is given to an originator so that he can print, publish, film, perform, or even record his work. Patent It is the authority given to an individual or to an organization/inventor conferring a right or title so that they can be the sole right owners of the right to make, or sell their invention for a given period/years. Monetary system This is similarly like a medium of exchange; something that is generally acceptable as a standard value as well as a measure of wealth in a region or a country. Trademark Legally registered symbol, word/words for use by a company or product. GDP This is an abbreviation for Gross domestic Product. It is the market value of all goods and services that are produced and officially recognized in a country over a given period of time. Rule of law This is in short a state in which there is a state of order and where events conform to the law. Inflation This is the general level where the purchasing power goes down while the level of prices of goods and services rises. Unemployment This is the number of people without employment or a source of income Task 2 Country GDP exchange rate Population GDP/capita Inflation rate Unemployment rate YOUTH School life Workforce UAE $360.1 Billion 5,314,317 $48,800 0.9% 12.1% 13 years 4.1 million Kuwait $153.5 billion 2,646,314 $41,700 4.7%  11.30% 12 years 2.2 million Qatar $174.9 billion  1,951,591 $98,900 1.9% 1.60% 12 years 1.241 million Saudi Arabia $587.5 billion  26,534,504 $24,400 5% 28.2% 14 years 7.63 million Oman $71.52 billion 3,090,150  $27,600 4.1% 15% 12 years 968, 800 Bahrain $25.45 billion 1,248,348 $27,700 -0.4% 20.1% 14 years 666, 000 South Africa $402.1 billion 48,810,427 $11,000 5% 48.2% 13 years 17.66 million Spain $1.456 trillion 47,042,984 $30,500 3.1% 21.7% 16 years 23.1 million India $1.798 trillion 1,205,073,612 $3,700 8.9% 9.8% 10 years 487.6 million Brazil example $2.453 trillion 199,321,413 $11,800 6.6% 17.8% 14 years 104.7 million Website used: https://www.cia.gov/library/publications/the-world-factbook/geos/ae.html Task 3 Is it beneficial or does it hurt a country’s standard of living to impose trade controls like tariffs, quotas and import duties? To start off this discussion, it is important to note that imposing trade controls such as tariffs, quotas as well as import duties hurts the standard of living. For instance in many occasions, tariffs may not bring the desired effect and these results in hurting the standard of living of a country. Quotas on the other hand may do much to raise the prices of goods. Let us now look at the various arguments against the trade controls. Import quotas as well as tariffs are argued to lead to smuggling even as they are set to reasonable levels. When the prices of various commodities are set, people will do whatever they can to acquire them at relatively lower prices., this will result to smuggling of those commodities as a result again the govern does not earn revenue which hurts the economy. And as this happens, this is translated to hurting the country’s standard of living. Moreover, the restriction to free trade kills the theory of comparative advantage. A situation where the world consumption as well as the resources are put into use better but with the trade controls, there is a restricted consumption of various commodities due to effects of price hikes which are usually as a result of tax imposed through the trade controls. On the other hand, the trade barriers will hurt the standard of living since the people will not enjoy a greater variety of commodities controls of better quality as well as cheaper prices. The trade controls lock out the chances for a variety of commodities as well as competition which would result to lower prices forcing the people to dig deeper in their pocket so as to afford the low variety high priced commodities available. For any reason that a government may have, they should always consider the harm the trade controls have on the standard of living. Task 4 Questions on Standard of living: 1. Make a table similar to the one below and list each item above in the table. Standard of living items Measurable Non measurable Population Local culture Employment Consumer expectations Balance of payment Transportation Inflation Physical environment Deathrate Political system Availability of credit Medical system Crime rates Access to technology Availability of credit education levels Electricity produced Legal system Taxation Family GDP What is a Standard of Living? This is the level of substance or level of comfort in individuals, class, or community’s everyday life; they are factors such as income, quality and availability of employment that contribute to the quality of standard of living. Why does each country have a different standard of living? There is one fact on this question; this is that there has been uneven growth noted not only across time but also across countries. For this reason why some places have better living standards ahead of the rest of the world which can also be linked with the gap in per capita GDP between countries. How do laws for business and the rule of law increase the standard of living? Laws on business affect the standard of living The rule of law is vital in the operation of things such as free markets and its promotion can make a major contribution to the economic growth. Rule of law is an infrastructure that is very essential for economic development. For this reason, the lack or absence of the rule of law means that standard of living is bad since the cumulative costs of an operation without the rule of law are enormous. Are you familiar with the terms: Developed World Countries? Third World? Developing Countries? Find them if you are unsure. Which category is the UAE placed in? Why? UAE according to me is a developed country since it is a rich country with a GDP per-capita that exceeds US$2,000 as per the 2011 results. It has one of the highest per capita incomes in the world not forgetting that it has a sizable annual trade surplus. It is also notable as a developed country for it has the highest average income in the world. This is just what a developed country should possess to achieve the status of a developed country. References Read More