<blockquote id="quote"><font size="1" face="Verdana, Tahoma, Arial" id="quote">quote<hr height="1" noshade id="quote"><i>Originally posted by voice</i>
<br />can any one tell me WTO
and its effects on pakistani economy
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Here is an article for you to read.
<blockquote id="quote"><font size="1" face="Verdana, Tahoma, Arial" id="quote">quote<hr height="1" noshade id="quote">The Seattle uprising in November1999 paved way for the world to think about the textual phenomenon of âmutually beneficial free tradeâ which poses a threat not only to developing economies but each and every individual in this world. The dichotomous relationship between profit and human development now seems to be a concept that has become mechanical and self-reinforcing, and, does not require human input to drive it any more.
The entire concept of how free trade creates distortions in the market making consumers worse off can be lauded in terms of its modular brilliance but stands can be easily denigrated in terms of the disastrous effects that it has on the level of employment within a country. As Pakistan now finally embarks upon the implementation of WTO rules, many skeptics have raised questions about how it will affect the Pakistani economy which will be now deprived of the government intervention while also questioning its conduciveness for sectors that do not enjoy the same advantage as probably the textile sector does.
The effects of Chinese imports, the granting of MFN status to India, the effect on agricultural exports are one of the main concerns of Pakistani businessmen who seem to be somewhat divided on the issue of how minimal government intervention and lower controls will affect their enterprise. This is primarily because WTO treaty cannot be blamed completely for the negative effects the implementation of free trade will have on the Pakistani Economy. Pakistanâs agreements with international donors and multi-lateral institutions also play a major role in determining the sort of protection each sector in the economy will be subject to. This can be asserted as many sectors, for instance agriculture, are still subject to subsidization under WTO agreements (owing to Pakistanâs per capita income less than $1000) but are mostly unable to receive any because of their agreements aforementioned.
In the trade policy, 2004- 2005, the subsidies given to the pharmaceutical sector amounted to 50%, for the furnished and granite marble products it equaled 25% whereas cotton sales were exempted from sales tax. After the complete implementation of the WTO rules a good idea would be to analyze the impact on these industries before proceeding on the others. Loss of competitiveness and major tax shortfalls are the current issues that business community and the government have to take in to account.
In terms of educating the public about the possible impact of WTO regulations much has to be done considering the length of the regulations and implications of each clause. The world today has witnessed protests on one hand and the somewhat rhetorical justifications presented by the elite on the other. What awaits the people of Pakistan, even though it can be predicted, will be endured in its entirety and will once more add to the historical list of implications regarding the impact of free trade, and, ironically and unsurprisingly will not be learnt and understood until other developing countries have traveled on the same path.<hr height="1" noshade id="quote"></font id="quote"></blockquote id="quote">
http//ravi.lums.edu.pk/rwes/currentbusiness2.html
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If I could... Then I would... Turn back time!!
