Difference between revisions of "The globalization of international trade"

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Description
After the 1970s, international trade including goods and services between countries, 
experienced a notable growth. The volume of exchanged goods and services between nations is 
taking significant part in the generation of wealth. By 2003, international trade was 
accounting for about 15% of the global GDP, a twofold increase since 1950.


Enablers
The more flexible and embedded production systems encourages exchanges of commodities and 
services.
Transport costs declined greatly due to the innovation processes and a growth of the 
efficiency of modes and infrastructures. As a result, the transferability of commodities has 
improved.
Integration processes such as the emergence of economic blocks and the decrease of tariffs 
at a global scale, promoted trade. The higher the level of economic integration, the more 
likely the concerned elements are to trade. The transactional capacity is consequently 
facilitated with the development of transportation networks and the adjustment of trade 
flows that follows increased integration.
Inhibitors
The fear of too specialized and unfairness of the local governments may lead them to legislate laws preventing international trade.
High tariffs, quotas, and other public policy interventions.
Paradigms
The World Trade Organization (WTO) operates with the broad goal of reducing or abolishing international trade barriers, which can largely increase the international trade.
Experts
Timing
Web sources
World Trade Organisation. (2004e). Understanding the WTO - members (http://www.wto.org/english/thewto_e/whatis_e/tif_e/org6_e.htm). Retrieved Dec 12, 2004.
General Articles on International Trade and Development: http://www.globalpolicy.org/socecon/trade/indexgen.htm
Globalization: http://www.itcilo.it/english/actrav/telearn/global/ilo/globe/new_page.htm#Trade

Revision as of 17:31, 15 March 2005