Introduction:
When a country embarks on using outward oriented policies, they open their boarders to interaction with other entities that increase they working power as well as the ability to draw benefits from them. Using inward policies limits the capacity of a nation that applies it, meaning that they will not grow; instead they will be feeding off themselves.
The use of inward policies is detrimental to the economic growth of a nation. This is because as the population of such a state increases, the raw materials that they will need to maintain the population do not change. The policies limit them to the work and power they have over the work power they have controlled by those policies. This leads to a continued poverty trend (Conference Board of Canada, 2010).
The use of outward policies on the other hand provides a nation with various options. The nation is now capable of working with other like minded entities that will eventually provide them with the power and strength to continue with the work that they are doing to achieve their goals. Be it international trade or any forms of aid, outward oriented policies open a flood gate of possibilities.
Both situations have their own advantages and disadvantages but eventually it is rather clear that the nation that move forward is the one than opens up its policies to allow for more input other than its own (Conference Board of Canada, 2010).
Conclusion:
In conclusion, the use of either policy has been debated for ages. Many people have argued that inward policies allow individual growth; others think outward policies provide block growth. The truth is that in the long term, outward policies are best.
Reference:
Conference Board of Canada. (2010). Best Policy Practices for Promoting Inward and Outward Foreign Direct Investment. Ottawa: The Conference Board of Canada.
