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Tools or instruments of trade restrictions
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[QUOTE="Mastergp, post: 273617, member: 85422"] Tools or instrument normally used for international trade restriction include the following: Import duties or tariffs: This is a tax imposed on imported goods to reduce the amount of trade. Foreign exchange control: Trade can be controlled by reducing the foreign example available for trade transactions. Devaluation: By lowering the value of country's currency others importation becomes costly while export becomes cheaper Import monopoly: This refers to situation in which the government of a country takes over the importation of certain goods which are only essential to the country. Preferential duties: In order to either encourage or discourage the importation of certain goods from certain countries discriminate duties are charged on these goods. Excise duties reduction: This method helps to reduce the prices of locally made good so as to enable people to patronize them instead of foreign made goods. Import license: Import license is a permit that allows an importer to bring a certain quantity of foreign goods into a country and allows him to purchase the foreign currency require to pay for them. [/QUOTE]
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