1. Business-Government Trade Relations Copyright © 2010 Pearson Education, Inc. publishing as Prentice Hall

2. International Business 5e Chapter 6 - 2 Describe the political, economic, and cultural reasons nations intervene in trade Identify the methods that nations use to promote trade Describe the methods that nations use to restrict trade Discuss the main institutions of the global trading system Chapter Preview

3. Copyright © 2010 Pearson Education, Inc. publishing as Prentice Hall International Business 5e Chapter 6 - 3 Political Motives ProtectjobsPreservenationalsecurity Respond to “unfair”tradeGaininfluence

4. Copyright © 2010 Pearson Education, Inc. publishing as Prentice Hall International Business 5e Chapter 6 - 4 Economic Motives I Potential results + National income increases – Wrong industries protected – Firms grow complacent – Consumer prices rise – Public funds poorly spent Protect infant industries Protect emerging industries during development from global competition

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