Does Free Trade Exist in Reality Essay Example | Topics and Well Written Essays - 2250 words

Does Free Trade Exist in Reality - Essay Example This research will begin with the statement that as the world rotates, the flow of trade among nations also circles around those that are involved in it. Basically, these nations engage in trade for the benefit of the economy and the establishment of alliances. The common perception of many regarding the concept of free trade based on the word itself is that it is a free form of trade and that anybody or any nation may enter any marketplace without having to deal with any complexities because certainly, it is free. This conventional idea of free trade is to some degree justifiable; however, the non-vulnerability of free trade to any complexities is something that needs a more concise explanation. Because if one will consider free trade as trade without complexities, then the entrance of illegal objects from one nation to another is possible, but if a free trade will become subject to a particular number of restrictions, then its administration becomes less complicated. According to C olton, free trade is an influential phrase. It leads many people to believe that commerce means freedom, that ports are open to all traders, and trade can be done anywhere to anyone. He further argued that these notions may seem reasonable enough with reference to the meaning of the word free, but the enchanting character of these phrases is actually misleading. Because of the true definition behind the phrase â€Å"free trade,† lies in the opposite of the obvious meaning that it expresses. Therefore, Colton justifies the idea that free trade is not inherently free; that it is subject to laws and regulations, which impedes the assumption of its being free. Rather than formulate a concise definition of free trade, scholars opted to assume that free trade has an understandable (yet vague) definition. Driesen has stated that in academic writings and in the interpreted decisions of the General Agreement of Tariffs and Trade (GAAT), vague terms such as trade barriers and trade res trictions are being used to exemplify the things that trade must become the free form of. However, the presence of these terms still does not help in the formulation of an exact definition of free trade. It goes to show that, in spite of free trade’s long existence, its concept has remained broad and ill-defined. Baggini and Fost have taken as an example "the justice of free trade." They have stated that when it comes to providing a definition of free trade, many do consider it as trade, which is not disrupted by any local or international trade restrictions. This meaning according to some philosophers refers to a fixed definition of free trade based on the thought of the words itself; however, with this definition, many people will argue that they have a precise or more appropriate definition of the term. These arguments will eventually result in varied justifications of free trade leading to contrasting conclusions in due regard to its justice. Creating clear definitions of difficult concepts as claimed by Baggini and Fost is crucial to refrain from having further discussions with its definition. The development of a single definition of free trade is still at the stage of discussions; therefore, its definition may vary and is still unfixed. Thus, a clear definition of free trade has to be developed not based on the term itself but based on its application in the world of trade, to put an end to this confusion. Hence, it can be said that "free trade refers to" the omission "of barriers to international trade", barriers that hinder its smooth sailing entrance to the international market.