Are government quotas and subsidies justified? Discuss the US sugar policy

Background info:

•We have seen that the US is currently:

negotiating major trade agreements:

•Transpacific Partnership

•US + EU trade agreement

•There are exceptions

to free trade

•There is the highly protective US sugar policy

•This is a policy which protects a specific group

•This is a policy which has burdened:

•Consumers

•Specific industries

•With high costs !

Essay need to discuss:

1. Is the US sugar policy justified ?

•Is the US sugar policy justified ?

•Is the US sugar policy reconcilable with free trade support ?

•In your view are we:

•Significantly distorting free markets

•Damaging emerging market sugar producers ?

2. General Issue

•Is the granting of exceptions to free markets

acceptable? If so why ?

•Should these be permanent ?

•Should these be temporary ?

•Is there such an industry which is in a state of
permanent infancy ?

Structure of the paper

•Section 1 – 70 % of paper

•Start with a presentation of the US sugar policy

•Continue with a discussion of the + and – points of the US sugar policy

•Conclusion with regard to the US sugar policy

•Section 2 – 30 % of paper

•Discuss the general issue

•Conclusion with regard to the general issue

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