Author Question: What is the World Trade Organization, and what is its purpose? What, if any, are the disadvantages ... (Read 36 times)

fasfsadfdsfa · **on:** Jul 10, 2018

What is the World Trade Organization, and what is its purpose? What, if any, are the disadvantages of the policies promoted by this entity?

Answer:

Question 2

Why do adjustments to interest rates by the Federal Reserve Board matter?

Answer:

wshriver · **Reply #1 on:** Jul 10, 2018

Answer to Question 1

An ideal response will:
1. Describe the World Trade Organization (WTO) and how its formation ended the General Agreement on Trade and Tariffs (GATT).
2. Explain how the WTO provides an international forum for reaching trade agreements and for resolving disputes among its members.
3. Note that labor unions, environmental groups, and human rights organizations worry about the negative effects of free trade, including low-wage jobs, child labor abuses, pollution, and worker abuse in foreign countries.
4. Provide a clear and concise conclusion.

Answer to Question 2

An ideal response will:
1. Explain the role of the Federal Reserve in controlling the money supply.
2. Describe how adjusting the interest rate up or down will affect the money supply.
3. Illustrate how lowering the interest rate reduces the cost of money, which makes borrowing easier, which increases spending, affects economic growth.