...importance of the international trade for China’s development With the development of the technology and the cooperation among the varieties countries,international trade is playing a irreplaceable role in the world stages.China has achieved a great development since participated in World Trade Organization(WTO).Therefore, I want to express some of my opinions about the importance of the international trade for China’s development.Obviously, we can divide two parts of China’s international trade since,1949 .On the one hand,Chinese economy is likely to a self-sufficient society which is from 1949 to 1978.On the other hand,China has taken a policy which named Opening and Reform, China began to do international trade with all the countries.Compare to the self-sufficient society period, we have witnessed a great development and experienced a lot of benefit that brought by the international trade since 1978,so I will use some examples and my daily experiences to support the importance for the China’s development.First of all ,international trade can meet most of the needs of China’s economy.Besides this advantages,international trade can offer a higher life quality for all kinds of Chinese.Last but the most important ,international trade can make a great contribution to the continuing development of China.Based on these three reasons,I do believe that Chinese will decrease misunderstanding to international trade and gradually realize the importance of international trade for the whole...
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...------------------------------------------------- The development of the classical theories of international trade between countries March 30, 2016 Danel Louw 17752302 March 30, 2016 Danel Louw 17752302 Contents Introduction 1 1 Mercantilism 2 2 Absolute Advantage 2 3 Comparative Advantage 3 4 Factor Proportions 4 5 Bibliography 6 * * Introduction International trade may seem simple. It is simply the exchange of goods between two people or entities from two different countries. People trade because they get some kind of benefit in the transaction. Sometimes it is something that they need and sometimes it is something that they desire. International trade it is not always that simple. There is a lot of theory, business strategy and policy behind it. International trade can be described in many different ways. There are many different theories, classical and modern, that we use to describe International trade. Mercantilism Mercantilism was developed in the sixteenth century. It was the first effort in developing an economic theory at the time. This theory stated that a country’s wealth was determined by the amount of its gold and silver holdings (Anonymous, 2012). Mercantilists believed that a country should increase its holdings of gold and silver by promoting exports and discouraging imports. In other words the government would use policies to encourage exports while restricting imports. They would do this by rewarding merchants...
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...economic systems are, by their nature, resistant to economic development through international trade. In this modern age of globalization, where capital can cross the national borders so easily and the investment funds can be pulled from one country to another in order to respond to new business opportunities, economic development is attainable in the most of the countries. However, the economic development depends on the certain kinds of cultures, political and economic systems. In general for any country to reach an economic development there are few conditions to be met such as stable government, no corruption and friendly culture. In other words, economic development is “affected by those intangibles that are collectively known as culture” (Francis & Hezel). Max Weber in the early 20th century offered a different view on how cultural and even religious values impact the economic output. “He argued that the Protestant work ethic, supported by Reformation teachings that the pursuit of wealth was a duty, inculcated the virtues needed for maximum economic productivity. For this reason, Protestants were more productive than Catholics throughout Europe-just think of Germany and Great Britain, for instance, compared to Ireland, Spain, Portugal and Italy in his day.” (Francis & Hezel). The question is why some countries do very well, while others fail to develop, even when there are help to support their development? For example the African nations, are given so much aid to develop...
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...International Trade As An Engine of Growth In Developing Countries: a Case Study of Nigeria (1980-2003) SECTION ONE 1.1 INTRODUCTION A ll economies are increasingly open in today’s economic environment of globalization. Trade plays a vital role in shaping economic and social performance and prospects of countries around the world, especially those of developing countries. No country has grown without trade. However, the contribution of trade to development depends a great deal on the context in which it works and the objectives it serves. In recent decades, a number of developing countries, most notably the East Asian newly industrializing countries, have been able to purposefully use the elemental force of trade to boost growth and development within a relatively short time span. At the same time many other developing countries, especially the least developed countries (LDCs), have embarked on unilateral trade liberalization in recent years, with very limited results at best in terms of increased growth and development. To act as an engine of development, trade must lead to steady improvements in human conditions by expanding the range of people’s choice, a notion that the concept of human development 3 tries to capture. From this standpoint, the trade and development performance of a country cannot be seen as the mere sum of its economic growth and export performance. Instead, it is a composite notion, reflecting how trade relates to the range of choices available...
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...on Trade and Development (UNCTAD) was established in 1964 as a permanent intergovernmental body. UNCTAD is the principal organ of the United Nations General Assembly dealing with trade, investment, and development issues. The organization's goals are to: "maximize the trade, investment and development opportunities of developing countries and assist them in their efforts to integrate into the world economy on an equitable basis." The primary objective of UNCTAD is to formulate policies relating to all aspects of development including trade, aid, transport, finance and technology. The conference ordinarily meets once in four years; the permanent secretariat is in Geneva. One of the principal achievements of UNCTAD has been to conceive and implement the Generalised System of Preferences (GSP). It was argued in UNCTAD that to promote exports of manufactured goods from developing countries, it would be necessary to offer special tariff concessions to such exports. Accepting this argument, the developed countries formulated the GSP scheme under which manufacturers' exports and some agricultural goods from the developing countries enter duty-free or at reduced rates in the developed countries. Since imports of such items from other developed countries are subject to the normal rates of duties, imports of the same items from developing countries would enjoy a competitive advantage. The creation of UNCTAD in 1964 was based on concerns of developing countries over the international market...
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...Economic Rights and Duties of States | | Bearing in mind that the United Nations Conference on Trade and Development, in its resolution 45 (III) of 18 May 1972,/8 decided to establish a Working Group of governmental representatives to draw up a draft Charter of Economic Rights and Duties of States, Recalling its resolution 3037 (XXVII) of 19 December 1972, by which it decided to enlarge the composition of the Working Group on the Charter of Economic Rights and Duties of States, Reaffirming its conviction of the urgent need to establish or improve norms of universal application for the development of international economic relations on a just and equitable basis, 1.Takes note with appreciation of the report of the Working Group on the Charter of Economic Rights and Duties of States and of the comments made thereon as reflected in the report of the Trade and Development Board on its thirteenth session; 2.Decides, in the light of the progress achieved, to extend the mandate of the Working Group as established by resolution 45 (III) of the United Nations Conference on Trade and Development; 3.Further decides that the Working Group shall hold two sessions in 1974, each of three weeks' duration, as recommended by the Trade and Development Board in its decision 98 (XIII) of 8 September 1973; 4.Urges the Working Group to complete, as the first step in the codification and development of the matter, the elaboration of a final draft Charter of Economic Rights and Duties of States, to...
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...Trade policies in Vietnam have restrictions in their trade agreements to protect their country interests and those of its people. A major protection from their perspective is the ability to protect domestic production. However the official powers recognize the benefits of participating in trade agreements with other countries. To that extent they have entered into traded agreements and joined numerous official trade unions with many countries, including the United States. Vietnam has applied for entrance into the WTO (World Trade Organization) and joined ASEAN(ASEAN Free Trade Area) in 1997 with the intent to comply with trade agreements rules as defined by AFTA (Asian Free Trade Area) and CEPT (Common Preferential Tariff Scheme) (Department of Planning, 2006).The motivating factor for Vietnam to join ASEAN with its accompanying trade guidelines of AFTA and CEPT, among others, was to raise awareness and understanding of tariff traded items with their related and non-related measures, called NTMs and non-tariff trades barriers, called NTBs (United Nations Development Project, 1999). To trade within a given market such as country versus international arena you must know the guidelines of a given entity to know boundaries and comply. This is the very purpose of all the various trade agreements. The agreements provide benefits and standards that can be used for any and all companies and countries. Additional agreements are created and maintained for compliance and repercussions...
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...Impact of WTO on Globalization Trade Policy Introduction World Trade Organization (WTO), found in 1995 and headquarters is in Geneva, has its clearly main purposes since its beginning that to promote economic and trade development all over the world. Up to the end of 2008, there are more than 135 members in the organization. In particularly, with the expansion of globalization trade, international business is more often than any time in the history. As one of the most crucial carrier of economic globalization, WTO establishes a set of international trade rules focusing on the liberalization, which play a strong role of encouraging and guiding in the process of economic globalization (Pauwelyn, 2005). This essay will mainly discuss WTO’s influence on the rules of globalization trade in combination with the current reform of trade policy. It will explain the topic from the following four aspects in detail: first, the basic rules WTO set up for the international trade, then, rules on e-commerce, the new rising global business, third, the preferential rules made by WTO for developing countries, and at last, it will discuss the impacts of WTO’s regulations on environmental issues when doing global trade. Basic Rules WTO set up for the Global Trade WTO's main objective is to provide adequate competitive opportunities for the trade among the members, which needs recognized common rules and principles for members to abide. There are two basic principles, namely the MFN principle (referred...
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...From the Director Indian Institute of Foreign Trade, having been set up by the Government of India in the year 1963, has achieved a niche in the domain of International Business by blending business knowledge with creative research, pioneering executive development programmes, international linkages and industry interventions into the curricular corpus. At IIFT, we have been an active learner all these years by continually focusing on maintaining global perspective on issues but with realistic grounding in local conditions. This practical approach has given our students an unbeatable edge in the national as well as international arena. It is because of its allaround achievements that the Institute was awarded the status of Deemed University in May 2002 and accredited in May 2005 as “A” grade institution by National Assessment and Accreditation Council (NAAC) an autonomous institution of University Grants Commission. Leading surveys have rated IIFT as one of the top ten business schools in the country. IIFT achieved its stature on the strengths of its faculty members, who have been active nationally and internationally in academia, students, dedicated staff members and excellent infrastructure. There is regular exchange of faculty and students to and from the leading international Business Schools with which IIFT has strategic alliance. The programmes offered at the Institute have not only addressed the requirement of the different times but always have had orientation towards...
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...I. INTRODUCTION The international trade theory experienced several periods of development from Classical to Neoclassical, New Trade Theory, and then the New Classical Trade Theory. The earliest over international trade had its birth in the end of 15th century and initial period of 16th century. That is, during the period of western countries’ primitive accumulation of capital and the main theory is mercantilism. It is claimed of the theory that the only form of wealth is the metal---gold and silver. People can gain them though exchange and for a nation, it is to increase the social wealth. Hereby, the way to gain gold and silver is international trade. II. THE DEVELOPMENT PROCESS OF THE THEORIES: 1. CLASSICAL INTERNATIONAL TRADE THEORY In the late 1790s, the point of mercantilism was challenged by the classical economists. Based on criticizing the mercantilism, Adam Smith proposed the division of labor theory. It has been 41 years from Adam Smith proposed the absolute cost in his the Wealth of Nations in 1976 to David Ricardo proposed the comparative cost in his the Principles of Political Economy and Taxation in 1817. This is the foundation period of international trade theory, that is, the Classical period. The absolute cost of Adam Smith is based on the division of labor theory. Adam introduced the division of labor theory to the field of international trade and established his absolute cost theory, thus demonstrating the fact that a nation can make the sources of each...
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...INTERNATIONAL BUSINESSs Name SIDRA IFTIKHAR SECTION: Ah REGISTERATION NO :078 Submitted to sir saqib fareed sheikh GLOBALIZATION Globalization is the process of international integration arising from the interchange of world views, products, ideas, and other aspects of culture. In particular, advances in transportation and telecommunications infrastructure, including the rise of the Internet, are major factors in globalization and precipitate further interdependence of economic and cultural activities. GATT General agreement on tariffs and trade, an international treaty (1948–94) to promote trade and economic development by reducing tariffs and other restrictions. it was superseded by the establishment of the world trade organization in 1995 History of GATT • Following World War II, the victor nations sought to create institutions that would eliminate the causes of war. • Their principles were to resolve or prevent war through the United Nations and to eliminate the economic causes of war by establishing three international economic institutions. GATT, 1947 Because the ITO was stillborn the provisional agreement for the ITO, the General Agreement on Tariffs and Trade (GATT) became the agreement...
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...Export Development Canada (EDC) Photo: EDC, About Exporting Export Development Canada (EDC) is a Canadian agency that provide export credit and export trade to Canadian entrepreneur for international business. It is a crown corporation that gets collaboration from the Government of Canada. EDC provides insurance and financial services, bond products and small business solutions to Canadian exporters including their international buyers. EDC also supports abroad and investors into Canada. EDC provide financing solutions, with a wide range of government programs that aim to help Canadian entrepreneurs. These government programs provide grants, loans or other financial assistance and information are available to Canadian region and industry. 1. The Canadian government does a lot to facilitate international trade. EDC and DFAIT encourage Canadian companies to get involved in trade. They fill a number of different roles in this effort. Describe what EDC and DFAIT do (provide 2 examples for each of them) to promote and encourage international trade. EDC supporting Canadian in the World. Photo: EDC, Support Business Worldwide EDC Contribution to Encourage Trade: * Export Development Canada (EDC) has facilitated over $20 billion to Canadian exports in Brazil for more than one decade. In 2000 EDC serve 169 companies, and increase the number of companies to 338. The business volume is $2.1 billion. Also, EDC insured 861 international buyers. The Canadian Trade Commissioner...
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...TRADE AND ENVIRONMENT A RESOURCE BOOK Edited by Adil Najam Mark Halle Ricardo Meléndez-Ortiz TRADE AND ENVIRONMENT A RESOURCE BOOK Edited by Adil Najam Mark Halle Ricardo Meléndez-Ortiz Trade and Environment: A Resource Book © 2007 International Institute for Sustainable Development (IISD), International Centre for Trade and Sustainable Development (ICTSD) and the Regional and International Networking Group (The Ring). Trade and Environment: A Resource Book Edited by Adil Najam, Mark Halle and Ricardo Meléndez-Ortiz ISBN 978-1-895536-99-7 Published by International Institute for Sustainable Development, International Centre for Trade and Sustainable Development, The Regional and International Networking Group This publication is available online at http://www.trade-environment.org http://www.iisd.org http://www.ictsd.org http://www.ring-alliance.org Cover photos from iStockphoto. Readers are encouraged to quote and reproduce this material for educational, not-for-profit purposes, provided the source is acknowledged. Printed on 100% post-consumer recycled paper. Trade and Environment: A Resource Book The International Institute for Sustainable Development (IISD, http://www.iisd.org) contributes to sustainable development by advancing policy recommendations on international trade and investment, economic policy, climate change, measurement and assessment, and natural resources management. Through the Internet, we report on international negotiations and...
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...1.0 History of international trade International trade has been and is today an economic force that has spurred commerce, promoted technology and growth, spread cultural patterns, stimulate exploration and colonization, and frequent fanned the flames of war. The history of international trade has gone hand in hand with the development of civilizations. From very ancient times, international trade brought about the exchange of products and raw materials between one land or nation and another. Although such trade was often conducted in barter form and was of small volume by today’s standard, this interchange of products was important in economic and historic development. International trade in its early beginnings was necessary, not just because it provided one society with products such as cowries from west Africa to other areas, international trade also formed the as is for cultural interchange, thus trading not only on product, but also on lifestyles, customs and technology. 1.1 International trade – Defined In the simplest form, international trade means exchange of goods and services across international boarders. In other to know what is happening in the course of international trade, governments keep track of the transactions among nations. The records of such transactions are made in the balance of payment accounts. International trade and balance of payment are therefore two important aspects in the relationship between nations. 2.0 Importance...
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...pattern, in the present era, the author intends to examine the concepts of industrial revolution, neo-liberalization, international corporate governance, millennium development goals, the need for international institutions and the international regulatory framework in different areas like international trade, financial services sector, environmental protection etc., with a view to question the relevance of the traditional concept of sovereignty in the present globalized world. * Origin of the research problem: Research Question Whether the traditional concept of sovereignty of states has undergone a sea change in the wake of massive globalization? The Industrial Revolution which is referred to the period from the 18th to the 19th century brought the winds of change during which major changes in agriculture, manufacturing, transport, and technology had a profound effect on the socio-economic and cultural conditions of the human race. Starting in the United Kingdom, and then subsequently spreading throughout Europe, North America, and eventually the world, the Industrial Revolution is the most important event in the history of humanity since the domestication of animals and plants. In the two centuries following 1800, the world's average per capita income increased over 10-fold, while the world's population increased over 6-fold. While international trade has been present throughout much of history, its economic, social, and political importance has...
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