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Author Question: Why have so many regional trade arrangements among developing countries failed? Why might MERCOSUR ... (Read 120 times)

imowrer

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on: Jun 30, 2018
Why have so many regional trade arrangements among developing countries failed? Why might MERCOSUR have a better chance for success than the East African Common Market?
 
  What will be an ideal response?

Question 2

The environmental Kuznets curve suggests that
 
  a. the environment deteriorates with development
  b. the environment deteriorates up to some level of GDP then improves
  c. open economies have less environmental problems
  d. low-income countries have more environmental problems
  e. none of the above


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nixon_s

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Reply #1 on: Jun 30, 2018
Answer to Question 1

Early attempts at regional trade arrangements such as the East African Common Market have failed because markets have been small and countries had similar economies, limiting the gains to be had from comparative advantage. MERCOSUR has been created at a time when the countries involved have large, more diversified markets.

Answer to Question 2

B


imowrer

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Reply 2 on: Jun 30, 2018
YES! Correct, THANKS for helping me on my review

bbburns21

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Reply 3 on: Yesterday
Thanks for the timely response, appreciate it

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