Unsafe Consumer Products Argument for Restricting Imports
What is the Unsafe Consumer Products Argument for Restricting Imports?
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What is the Unsafe Consumer Products Argument for Restricting Imports?
One argument for shutting out certain imported products is that they are unsafe for consumers. Consumer rights groups have sometimes warned that the World Trade Organization would require nations to reduce their health and safety standards for imported products. However, the WTO explains its current agreement on the subject in this way: “It allows countries to set their own standards.” It also says “regulations must be based on science. And they should not arbitrarily or unjustifiably discriminate between countries where identical or similar conditions prevail.”
Thus, for example, under WTO rules it is perfectly legitimate for the United States to pass laws requiring that all food products or cars sold in the United States meet certain safety standards approved by the United States government, whether or not other countries choose to pass similar standards. However, such standards must have some scientific basis. It is improper to impose one set of health and safety standards for domestically produced goods but a different set of standards for imports, or one set of standards for imports from Europe and a different set of standards for imports from Latin America.
Related Topics
- Trade Balance: Surplus and Deficit
- Mercantilism
- J Curve
- National Trade Data Bank
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- Merchandise Trade Balance
- Current Account
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- Unilateral Transfer
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