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But in the short term, this development is swelling imports of capital goods.
The trade report also showed that imports of capital goods surged to a fifth consecutive record high, which did not help the market's cause.
Fifth, to encourage the imports of capital goods for speeding up the economic development of the country.
A 9 percent drop in imports of capital goods, like machine tools, was taken as another sign of sluggishness.
As a result, imports of capital goods and basic and semi-processed inputs increased sharply.
Imports of capital goods, which surged to $9.2 billion, from $8.4 billion, but economists tend to worry less about rises in this category.
"The drop in imports of capital equipment at a time when exports of capital goods and machine tools are rising was particularly noteworthy."
Under the program, begun in 1986, Tunisia has already devalued the dinar and liberalized imports of capital goods and raw materials.
Imports of capital goods rose $1.1 billion in November, the Commerce report showed, while imports of consumer goods rose $700 million for the month.
China will begin levying taxes on the imports of capital equipment by foreign-financed companies, beginning April 1, the New China News Agency reported yesterday.
Imports of passenger cars over the three months rose only two per cent by volume, whilst imports of capital goods were down six per cent.
There is generally no restriction on the import of capital into Spain, but it is advisable to check with your bank in case any special formalities are necessary.
The export of capital goods declined $1.6 billion, while imports of capital goods rose $600 million, an indication that businesses around the world are slowing their spending.
This decrease is largely offset, however, by an increase in American imports of capital goods, like high-tech devices, components and equipment American industry needs to make its own products.
South Korea, Taiwan and Singapore, for example, relied on foreign investment to pay for imports of capital goods until export income rose sufficiently to cover the purchases.
In case of import of capital goods, banks can approve buyer's credits up to USD 20 million per transaction with a maturity period of up to three years.
In the modern world, money tends to be much more mobile than labour, so import of capital to a country will almost certainly shift the relative factor-abundances in favour of capital.
Economists generally consider imports of capital goods to be more desirable than imports of consumer goods since they help the long-run modernization and expansion of this nation's productive capacity.
Businesses will probably lose a variety of tax breaks they received in June to reduce production and export costs and the costs of imports of capital goods intended to increase production.
Free-zone measures include a flat 17 percent income tax on foreign executives and employees, no import duties on import of capital goods, and cash grants for foreign high-technology investments.
But one detail of today's trade report - a sharp decline in imports of capital goods - implies that business spending on new equipment may have been weakening at the end of last quarter.
The fundamental cause of this decline is that the state, which runs the entire economy, cannot pay for the necessary imports of capital goods to undertake the desperately needed modernization of its industrial plants.
In economic affairs the policies laid down in 1967 for encouraging investors in the private sector by substantial inducements - tax holidays, free import of capital goods, and protective tariffs - are continued.
Officials said Japan was also ready to provide perhaps $400 million to $500 million each to Poland and Hungary to finance the imports of capital goods and machinery needed to revitalize their industrial base.
Although Latin American economies grew at an average rate of 5.5 percent in the 30 years before 1980, they also grew heavy with inefficiencies, addicted to deficit spending and dependent on imports of capital goods.