Openness to Trade

Capitalism works best when goods, money, and resources can move freely between countries. Trade allows countries to focus on producing the goods and services they do best. They can then trade with other countries for things they do not produce as well. Trade barriers can make this harder because countries may have to produce more of what they need themselves.

To support international trade, governments can reduce tariffs and subsidies or create markets where goods can move with fewer restrictions. Within a country, governments can also reduce trade barriers and build infrastructure, such as roads and transportation systems, that connect businesses with the people who buy their goods and services.