Current trade negotiation.

Full Answer Section In the case of cotton, tariffs were instituted in the United States in the early 1900s to protect the domestic cotton industry. The cotton industry was a major employer in the United States at the time, and the tariffs were seen as a way to protect those jobs. What changed In recent years, the global cotton market has changed significantly. The United States is no longer the dominant producer of cotton, and many developing countries have become major exporters. As a result, the tariffs on cotton have become increasingly harmful to the US economy. The setting The current trade negotiation on cotton is taking place in the context of the World Trade Organization (WTO). The WTO is an international organization that sets rules for trade between countries. The WTO has been negotiating a new agreement on cotton for several years, but the negotiations have been difficult. The actors involved The main actors involved in the trade negotiation on cotton are the United States, Brazil, and the African Group. The United States is the largest importer of cotton, Brazil is the largest exporter of cotton, and the African Group is a group of African countries that are major producers of cotton. Who will benefit If the tariffs on cotton are reduced, the main beneficiaries will be the African countries that are major producers of cotton. These countries will be able to export more cotton and earn more revenue. Who will lose The main losers from a reduction in tariffs on cotton will be the US cotton farmers. These farmers will face increased competition from foreign producers and their profits will likely decline. Conclusion The trade negotiation on cotton is a complex issue with a number of different stakeholders. The outcome of the negotiation will have a significant impact on the global cotton market and on the economies of the countries involved. Business considerations If I were contemplating opening my own business, I would consider the following factors when choosing the form of business:

• The size of the business: If I am starting a small business, I may want to choose a sole proprietorship or a partnership. These forms of business are relatively easy to set up and maintain, and they offer some liability protection.
• The complexity of the business: If I am starting a more complex business, I may want to choose a corporation. Corporations offer more liability protection than sole proprietorships and partnerships, and they can also raise capital more easily.
• The tax implications: The tax implications of different forms of business can vary. I would need to consult with an accountant to determine which form of business would be most beneficial for me from a tax perspective.

After considering these factors, I would choose the form of business that is most appropriate for my specific situation.

Sample Answer Sure, let's discuss the issues of one current trade negotiation. For example, in March 2006, the Bush administration was contemplating reducing tariffs on cotton to the benefit of African nations. In my discussion, I will describe why tariffs and quotas were instituted in the first place, what changed, the setting, the actors involved, who will benefit, who will lose. Why tariffs and quotas were instituted in the first place Tariffs and quotas are government-imposed restrictions on international trade. Tariffs are taxes on imported goods, while quotas are limits on the quantity of imported goods. These restrictions are typically imposed to protect domestic industries from foreign competition.