Free Trade Vs Fair Trade

The author of the book "The Wealth of Nations" expressed support for free trade and emphasized that it is a trade policy to be adopted. Krugman and Obsfeld supported Smith 's support, said free trade increased trade efficiency and accumulated national income. Free trade is the theory that each country specializes in economic activities, acquires absolute advantage and encourages enjoying absolute advantage with other countries in specific economic activities.

As with other theories, there is an opposite view. International trade has two different views on the level of trade management: free trade and protectionism. Free trade is a relatively simple one of the two theories: no laissez-raism, no restrictions on trade. The main idea is that the demand and supply factor that works on a global scale is to ensure that production is effective. Since the market force does this automatically, there is no need to do anything to protect or promote trade and growth.

In the free market, the two parties will trade when the parties are satisfied that the deal is fair. If either party judges the transaction as "unfair", no transaction will occur. If an exchange party does not provide anything, it is considered a ration or a free lunch. Unfortunately, there is no real free lunch. Someone has to pay lunch, which means that no one can get anything and no one can get anything. If token distribution tries to sell 90% of the token at the same price below the market price, someone gets something, but others do not get anything. Truly fair token distribution is a token assignment that allows the market to determine prices while ensuring that all parties to the transaction are satisfied with the transaction. This also minimizes the possibility of buyer's extreme losses and seller's extreme opportunity costs.