Trade Context

Question 1

What trade deals has the UK government signed?

Answer 1

Singapore, South Korea, Switzerland, Australia, New Zealand, EU, Member of Trans-Pacific Partnership (trading bloc)

Question 2

What group were angry and suspected to be harmed by The Australian and New Zealand free trade deals with the UK?

Answer 2

Farmers in the UK- they expect Australia/ New Zealand can outcompete them (dairy and meat industries- lack a comparative advantage)

Question 3

What is the risk of a trade deal with the USA

Answer 3

Declining product standards (or health and safety/ environmental standards)- within agricultural sector- may hinder consumer welfare

Question 4

What’s a risk on trade deficits

Answer 4

Could widen existing trade deficits because we don’t have comparative advantage in manufacturing and many goods.

Question 5

What’s a risk on overspecialisation?

Answer 5

Worsen overspecialisation/ dependency on financial services