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What are the positive and negative effects on the local market of importing goods?
Wiki User
∙ 15y ago
That's an excellent question, and central to the problems that we are facing and yet no politician is talking about it. On the positive side, there can be a damper on inflation since usually one reason for importing goods is that they are produced and sold at a lower price than they would be locally. There are other things that are positive on other levels regarding good relations with trading partners. However, there can be huge negatives in the impact imports have when exports do not match up in value. There can be significant transfers of wealth, loss of capital and jobs. For discussion of those impacts see the related links below.
Wiki User
∙ 15y ago
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