In India, protective regulations have sometimes limited trade between different states within the country.
Tariffs
Quotas
Embargo
Outsourcing
In India, protective regulations such as tariffs and quotas have occasionally limited trade between different states within the country.
Tariffs refer to taxes imposed on imported goods, making them more expensive and less competitive compared to domestically produced goods. This can discourage trade between states within India, as goods from one state might become more expensive in another state due to tariffs.
Quotas, on the other hand, restrict the quantity of goods that can be imported from a specific state or country. These limitations can also hinder trade between Indian states by placing restrictions on the amount of goods that can be exchanged.
Embargo, although less common within India, refers to a complete prohibition of trade with a specific state or country. While this is not specifically a regulation within India, embargoes imposed by other countries can impact trade between Indian states indirectly.
Outsourcing, however, is not a regulatory measure but rather a business practice. It involves delegating certain tasks or functions to external companies or individuals, often located in different states or countries. Outsourcing, when utilized, can promote trade by allowing businesses from different states in India to collaborate and exchange goods or services.