Trade Act Of 1974

AAA

DEFINITION of 'Trade Act Of 1974'

Legislation passed by U.S. Congress to expand U.S. participation in international trade and reduce trade disputes. The act provided the authority to reduce or eliminate trade barriers, improve relationships with nonmarket (Communist) and developing economies, and change to injurious and unfair competition laws.


The act also provided relief for American industries negatively affected by increased international trade and changed tariffs on imports from developing countries. Further, it provided for U.S. action against foreign countries whose import activities unfairly disadvantaged American labor and industry.

INVESTOPEDIA EXPLAINS 'Trade Act Of 1974'

International trade has long been a contentious political and economic issue. Opponents of it argue that it takes jobs away from domestic workers. Proponents argue that, while international trade may force domestic workers to move into other lines of work, free trade takes full advantage of specialization and division of labor to improve economic conditions in all participating countries.



RELATED TERMS
  1. North American Free Trade Agreement ...

    A regulation implemented on Jan. 1, 1994, that decreased and ...
  2. Tariff

    A tax imposed on imported goods and services. Tariffs are used ...
  3. Federal Trade Readjustment Allowance ...

    A form of income assistance to persons who have exhausted unemployment ...
  4. Trade Adjustment Allowance

    A federal government subsidy paid to individuals who have lost ...
  5. Trade War

    A negative side effect of protectionism that occurs when Country ...
  6. General Agreement On Tariffs And ...

    A treaty created following the conclusion of World War II. The ...
Related Articles
  1. How Globalization Affects Developed ...
    Fundamental Analysis

    How Globalization Affects Developed ...

  2. Sanctions Between Countries Pack a Bigger ...
    Economics

    Sanctions Between Countries Pack a Bigger ...

  3. Adam Smith: The Father Of Economics
    Economics

    Adam Smith: The Father Of Economics

  4. What Is International Trade?
    Personal Finance

    What Is International Trade?

comments powered by Disqus
Hot Definitions
  1. Correlation

    In the world of finance, a statistical measure of how two securities move in relation to each other. Correlations are used ...
  2. Letter Of Credit

    A letter from a bank guaranteeing that a buyer's payment to a seller will be received on time and for the correct amount. ...
  3. Due Diligence - DD

    1. An investigation or audit of a potential investment. Due diligence serves to confirm all material facts in regards to ...
  4. Certificate Of Deposit - CD

    A savings certificate entitling the bearer to receive interest. A CD bears a maturity date, a specified fixed interest rate ...
  5. Days Sales Of Inventory - DSI

    A financial measure of a company's performance that gives investors an idea of how long it takes a company to turn its inventory ...
  6. Accounts Payable - AP

    An accounting entry that represents an entity's obligation to pay off a short-term debt to its creditors. The accounts payable ...
Trading Center