The free exchange of goods across national borders is a controversial and widespread business in most nations. Some believe that this free movement of products across borders can be beneficial for economic development, as the countries involved in commercial transactions have an unrestricted way to sell their goods to each other. However, others contend it could damage local industries because cheaper products from other countries can prevent the selling of national goods. Regarding these viewpoints, I firmly believe that the free exchange of products across borders might be profitable if the countries involved have the same cost of living without major differences in goods prices for the public.
Some argue that free movement of goods can improve economic growth, mostly generating a dynamic, unrestricted system to sell products. Many nations have significantly benefited from opening their borders without implementing any commercial regulation between them. For instance, the European Union have an agreement of unfettered exchange that includes no tariffs and restrictions.
However, others believe that this free movement can damage local industries because the cost of the goods usually differ depending on each country, affecting the local selling of products. For instance, the free movement of products between unequal economies like the USA and Mexico have been very controversial, as the Mexican manufacturers struggle to compete with cheaper American goods.
Considering these perspectives, I firmly believe that the free exchange of goods might be profitable when nations share similar cost of living, with the same products having equal prices across borders. For instance, the cost of the same goods between Argentina and Uruguay is extremelly unequal due to a devaluation in the Argentinian currency. The free movement of products across the border is damaging the Uruguayan economy because the prices in supermarkets differ greatly from one country to the other, with the same goods being three times cheaper in the Argentinian side. Consequently, many business owners cannot sell their products since most local buyers cross the border to buy goods in a nearby Argentinian shop.
In conclusion, while some believe the free movement of goods across borders can enhance economic growth, I maintain that nations can profit from it when they share the same cost of living. Prices must be similar in both countries to protect local industries, avoiding one of the two economies to be financially affected. Governments should implement regulations to the free exchange of products across borders when it is not profitable, thereby protecting their own local industries.