Advantages of free trade – SEEIIH (6)
Specialisation benefits
Efficient allocation of resources
Economic growth
Innovation
increased competition
Higher standards of living
Disadvantages of free trade DINUD (5)
Dumping
Infant industries
Non-reciprocity
Unemployment
Dependency
Methods of protection TSQLVEB (7)
Tariffs
Subsidies
Quotas
Local content rules
Voluntary Export restraints
Embargoes
Bounties
Effects of protectionist policies IMPELEN (7)
Inflationary
Misallocation of resources
Prices increase
Economic growth slows
Lowered export earnings
Employment effect
Negative redistribution of income
Types of free trade agreements FCUCUMBER (4)
Free trade area
Customs union
Common market
Complete economic union
Impacts of globalisation IEDTEFII (8)
International Convergence
Economic growth and development
Distribution of income and wealth
Trade, investment and transnational corporations
Environmental consequences
Financial markets
International business cycle
Implications for government economic policies