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Trade Sanctions: A Minor Hindrance or Complete Disaster
International Journal of Economic Behavior and Organization
Volume 8, Issue 3, September 2020, Pages: 74-80
Received: May 14, 2019; Accepted: Sep. 17, 2019; Published: Oct. 26, 2020
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Authors
Johan Van Rooyen, Department of Business and Technology, Webster University, Cha-am, Thailand
Amrita Nath, Department of Business and Technology, Webster University, Cha-am, Thailand
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Abstract
This paper looks into the impacts trade sanctions have on a country, in particular the economic and financial impacts. The question raised is whether trade sanctions indeed have impact of reducing the economic welfare of a country and if so to what capability? Two cases of trade sanctions have been examined: UN sanctions on Iraq and US sanctions in Iran. The analysis suggests that the despite affecting the economy of the target country, the extent to which it impacts in damaging the economic and financial resources depends upon the type and severity of the sanction. In Iraq, the complete comprehensive multilateral trade sanction crippled its economy and financial pushing it into a state of grave fiscal and humanitarian crisis. In Iran, the unilateral trade sanctions imposed by US in the form of trade barriers, has impacted by the country but economic and financial growth continues with Iran’s other trading partners.
Keywords
Sanctions, Financial Impact, Iraq, Trade Barriers
To cite this article
Johan Van Rooyen, Amrita Nath, Trade Sanctions: A Minor Hindrance or Complete Disaster, International Journal of Economic Behavior and Organization. Vol. 8, No. 3, 2020, pp. 74-80. doi: 10.11648/j.ijebo.20200803.14
Copyright
Copyright © 2020 Authors retain the copyright of this article.
This article is an open access article distributed under the Creative Commons Attribution License (http://creativecommons.org/licenses/by/4.0/) which permits unrestricted use, distribution, and reproduction in any medium, provided the original work is properly cited.
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