Management Notes

Reference Notes for Management

Difference between Tariff and Non-Tariff Barriers | Barriers to international trade

Difference between Tariff and Non-Tariff Barriers

Difference between Tariff and Non-Tariff Barriers

Tariff barrier is a kind of barrier to trade between certain countries or geographical areas which takes the form of abnormally high taxes levied by a government on imports or occasionally exports for purposes of protection, support of the balance of payments, or the raising of revenue.Non-Tariff Barriers(NTBs) refer to restrictions that result from prohibitions, conditions, or specific market requirements that make importation or exportation of products difficult and/or costly.

NTBs arise from different measures taken by governments and authorities in the form of government laws, regulations, policies, conditions, restrictions or specific requirements, and private sector business practices, or prohibitions that protect the domestic industries from foreign competition.Trade economics is a concept involving the buying and selling of goods and services, with compensation paid by a buyer to a seller, or the exchange of goods or services between parties.

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