In a short essay, discuss why governments have been liberalizing cross-border movements of goods, services, and resources.
Answer: Generally, governments today impose fewer restrictions on cross-border movements than they did a decade or two ago. They have lowered them for the following reasons:
a. Their citizens have expressed the desire for easier access to a greater variety of goods and services at lower prices.
b. They reason that their domestic producers will become more efficient as a result of foreign competition.
c. They hope to induce other countries to reduce their barriers to international movements.