Economy of Ghana

Trade liberalisation was established upon as part of organization constitution toward a grocery based economic get on to sustainable as prescribed under the Economic recovery Programme and Structural Adjustment [ERP/SAP] in April 1983. The policy seeks to pull off barriers to export and import sector of the economy and there by promote large scale production within the national economy. virtually of the obvious merits of interchange liberalization in gold coast atomic number 18 increase getup especially of non-traditional goods for export, increase get at to foreign goods on the gold coastian market, increased employment and easier exchange of production including foreign direct investment. The trade reform policy however, argues that the implementation of the policy has led to decreased industrial output and rent seeking activities. With the implementation of trade liberalization, Ghanas exports as well as imports have increased tremendously. For representative; growth in export [F.O.B] increased from -3.09% in 1983 to 12.1% in 2003. For the same period imports were 16.6% and 16.8% respectively, similarly, the volume and value of non-traditional exports in particular(a) have been increasing consistently since the implementation of trade liberalization programme in 1983.

According to Ghanas statistical service [2005], the contribution of the non-traditional export to the total export of Ghana grew from 4.2% in 1985 to 25% in 2002. Another impact of trade liberalization on Ghanas economy is increased access to foreign goods at cheaper prices. The policy is designed for increased competition and production efficiency. As a result of this, prices are highly charged. The influence of the foreign goods on the Ghanaian market is to promote consumer sovereignty with positive welfare implications for income redistribution and social welfare. Some of the foreign good on the Ghanaian market includes drugs, food, electronic gadgets, automobiles, telecommunication services and facilities, textiles and building... If you want to get a unspoilt essay, order it on our website: Orderessay

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