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Exporting and Importing

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Word Bank 1. Fair trade

2. Guanxi
Connections usually referring to government contacts and influence.

3. ATC
In 1994, as a result of the Uruguay Round of negotiations, GATT was absorbed into the WTO. The WTO also absorbed the MFA, which was replaced by the ATC. The purpose of the ATC was to phase out the MFA and its quota system over ten years.

4. Free trade a agreements (FTAs)

5. Intellectual property rights
The WTO is not just about liberalizing trade. In some circumstances its rules support maintaining trade barriers, for example protecting intellectrual property rights, patents, trademarks, and copyrights, but it is difficult to protect them from unscrupulous business from other countries.

6. NTBs
In recent years, however, the United States-as well as most countries world-wide, has established bilateral or multilateral free-trade agreements (FTAs) between two or more countries to eliminate tariff and non-tariff barriers affecting trade among themselves.

7. Portfolio Investment
It is a non-controlling interest in a venture made in the form of either debt or equity.

8. SMEs
It benefits from the tariff-eliminating provisions of free trade agreements, and should benefit from the significant tariff cuts required under the CAFTA-DR. The transparency obligations, particularly those contained in the customs chapters, are also very important to SMEs, which may not have the resources to navigate customs and regulatory red tape.

9. Joint venture
On form of merger is a joint venture, a direct investment in which two or more partners share ownership.

10. G7
Finance ministers met in Rome in February 2009 to affirm their pledges to avoid resorting to protectionism as they try to stimulate their own economies in the face of the world’s worst economic crisis since the depression era of the 1930s.

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