“That global free trade has done more harm than good”

I agree with the statement. Firstly, global free trade allows countries to import and export of goods and
services without restrictions from governments. Its impact could benefit the country as a whole and the
individuals. Although there would be economic growth, lower prices and increase demand for goods and
services, increase interdependence among nations, and maintain harmonic relations. These advantages
cause a downfall in economic stability and security among individuals. These individuals are crucial to
the economy as they participate in the production of these goods and services as well. According to
Berman (2018), free trade could lead to massive job losses in certain industries, particularly in developed
countries. There would be unemployment of workers or reduction of workforce of certain industries
when businesses choose to import low-cost raw materials from other countries and close their domestic
operations. It is more practical for businesses to spend low on capital and sell it for a higher market
price. Additionally, workers may experience wage stagnation. A great example would be the Registered
nurses in the Philippines would opt to work in developed countries for a higher wage.

Advantages:
 Economic growth: Free trade can stimulate economic growth by promoting efficiency and
specialization. When countries engage in trade and exchange goods and services, they can focus
on producing what they are comparatively better at, leading to increased productivity and
overall economic gains. (they start to engage in the competition of foreign markets)
 Lower prices and increased consumer choice: By opening up markets to global competition, free
trade can lead to lower prices for consumers. This can improve living standards by making goods
and services more affordable, providing a wider range of options, and increasing the overall
purchasing power of consumers.
 Global cooperation and peace: Proponents argue that free trade fosters interdependence among
nations, which can promote cooperation and reduce the likelihood of conflicts. Countries that
engage in trade often have economic incentives to maintain peaceful relations and resolve
disputes through negotiations rather than resorting to conflict.
 Reduce barriers to imports and exports in countries.
 Without free trade agreements, countries often protected their domestic industries and
businesses. Just like the Philippines before, it adapted to the protectionist policy of economic
system and the result of that is a higher price of goods of services. When we close the free trade
system, consumers would have limited choice of goods and services so they would opt to pay
more for it.
 MNC’s would be made available for consumers in a certain country far away from the orgin.
 Free trade agreements also contribute to foreign investment. Investors will flock to the country.
This adds capital to expand local industries and boost domestic businesses. It also brings in U.S.
dollars to many formerly isolated countries. (increase gdp)
o Gross domestic product (GDP) is the value of the finished domestic goods and services
produced within a nation's borders.
o Gross national product (GNP) is the value of all finished goods and services produced by
a country's citizens, both domestically and abroad.
 When the multinationals partner with local firms to develop the resources, they train them in
the best practices. That gives local firms access to these new methods.
  Gain access to the latest technology.
 As local economies grow, so do job opportunities. Multinational companies provide job training
to local employees.

Disadvantages
 These advantages cause a downfall in economic stability and security among individuals. These
individuals are crucial to the economy as they participate in the production of these goods and
services as well. According to Berman (2018), free trade could lead to massive job losses in
certain industries, particularly in developed countries. There would be unemployment of
workers or reduction of workforce of certain industries when businesses choose to import low-
cost raw materials from other countries and close their domestic operations. It is more practical
for businesses to spend low on capital and sell products for a higher market price.
 With that being said, MNC’s will have more gain than the consumers. They will gain more power.
 Wage stagnation: The increased competition from foreign markets can put downward pressure
on wages in certain industries. Workers may face challenges negotiating higher wages when they
are competing with cheaper labor from other countries. Multinational companies may outsource
jobs to emerging market countries without adequate labor protections. As a result, women and
children are often subjected to grueling factory jobs in sub-standard conditions.
 Free trade leads to the depletion of timber, minerals, and other natural resources. Deforestation
and strip mining reduce their jungles and fields to wastelands.
 Since MNC would open up to other countries bringing foreign market, domestic market would
decrease because people would opt to buy a foreign brand than local. There would be a race
between foreign and domestic markets of a certain country. And unfortunately, this domestic
market would possibly close down. There would be decrease demand for local goods and
services because the foreign market is much cheaper. Additionally, it decreases the GDP of a
certain country.

Advantages
Economic growth: Free trade can stimulate
economic growth by promoting efficiency and
specialization. When countries engage in trade
and exchange goods and services, they can focus
on producing what they are comparatively better
at, leading to increased productivity and overall
economic gains. (they start to engage in the
competition of foreign markets)
Disadvantages
These advantages cause a downfall in economic
stability and security among individuals. These
individuals are crucial to the economy as they
participate in the production of these goods and
services as well. According to Berman (2018), free
trade could lead to massive job losses in certain
industries, particularly in developed countries.
There would be unemployment of workers or
reduction of workforce of certain industries when
businesses choose to import low-cost raw
materials from other countries and close their
domestic operations. It is more practical for
businesses to spend low on capital and sell
products for a higher market price. Free of tariffs,
products imported from foreign countries with
lower wages cost less.
Lower prices and increased consumer choice: By
opening up markets to global competition, free
trade can lead to lower prices for consumers. This
can improve living standards by making goods
and services more affordable, providing a wider
range of options, and increasing the overall
purchasing power of consumers.
Global cooperation and peace: Proponents argue
that free trade fosters interdependence among
nations, which can promote cooperation and
reduce the likelihood of conflicts. Countries that
engage in trade often have economic incentives
to maintain peaceful relations and resolve
disputes through negotiations rather than
resorting to conflict.
Reduce barriers to imports and exports in
countries.
Without free trade agreements, countries often
protected their domestic industries and
businesses. Just like the Philippines before, it
adapted to the protectionist policy of economic
system and the result of that is a higher price of
goods of services. When we close the free trade
system, consumers would have limited choice of
goods and services so they would opt to pay
more for it.
MNC’s would be made available for consumers in
a certain country far away from the origin.
Yes, consuming their products and services.
However, they are tricking us to buy their
products at a low cost when actually MNC’s can
benefit more than the consumers. MNC’s will
have more financial gain from the consumers.
They will gain more power.
Free trade leads to the depletion of timber,
minerals, and other natural resources.
Deforestation and strip mining reduce their
jungles and fields to wastelands. In short, they
destroy our environment. This can lead to global
problem such as global warming, animal cruelty,
and such which is a source of dispute between
countries across the world.
An economy that is built on this process will often
fail because once
the resources are gone, there is nothing left to
trade
Since MNC would open up to other countries
bringing foreign market, domestic market would
decrease because people would opt to buy a
foreign brand than local. There would be a race
between foreign and domestic markets of a
certain country. And unfortunately, this domestic
market would possibly close down. There would
be decrease demand for local goods and services
because the foreign market is much cheaper.
Additionally, it decreases the GDP of a certain
country.
What about the local goods and services? What
would be its source of livelihood if we just keep
buying the foreign market? How will they go
about their daily routine if they can’t even bring

Free trade agreements also contribute to foreign
investment. Investors will flock to the country.
This adds capital to expand local industries and
boost domestic businesses. It also brings in U.S.
dollars to many formerly isolated countries.
(increase gdp)
food for their family to eat? It’s a total lost for the
domestic markets.
There would be unemployment of workers or
reduction of workforce of certain industries when
businesses choose to import low-cost raw
materials from other countries and close their
domestic operations. It is more practical for
businesses to spend low on capital and sell
products for a higher market price.

When the multinationals partner with local firms

to develop the resources, they train them in the
best practices. That gives local firms access to
these new methods.

Gain access to the latest technology.

As local economies grow, so do job opportunities.

Multinational companies provide job training to
local employees.