According to some scholars, the most important trade policy that will affect third world development is the
A) rise of nontariff barriers.
B) expansion of the service industry in the developing world.
C) reduction of the level of tariffs.
D) reduction of agricultural subsidies by wealthy states.

Question

Quizplus · Accepted Answer

The reduction of agricultural subsidies by wealthy states is the most important trade policy that will affect third world development because it would allow for greater market access for the agricultural products of developing countries, which is one of their main exports. This would increase their economic growth and reduce poverty levels. The rise of nontariff barriers and expansion of the service industry in the developing world are important factors as well, but the reduction of agricultural subsidies has the most significant impact on third world development. The reduction of the level of tariffs could also benefit developing countries, but it is not as crucial as the reduction of agricultural subsidies.

According to Some Scholars, the Most Important Trade Policy That