Premium Essay

Trade and Evolution

In:

Submitted By oonkokkem
Words 2218
Pages 9
Trade and the Evolution of Product Quality in AFTA

Illustrative paper For
GSM 5123 STUDENT

I Introduction

With the formation of AFTA, the role of trade within and between ASEAN member countries has become increasingly important. Central to the discussion has been the role of intra-industry trade (IIT), defined as the simultaneous import and export of goods from the same industry. Past studies on the performance of Malaysian bilateral or multilateral IIT flows has been general in the sense that these studies has been conducted by covering all Malaysian based manufacturing industries. Our interests here in presenting a close examination of intra-industry trade in the Malaysian natural resource intensive industries (NR) are two fold; firstly is our untested conviction that these NR industries represents genuine Malaysian IIT in comparison to the Malaysian based technology intensive industries which are wholly foreign owned.

Another reason given for this apparent lack of attention is a tendency to concern ourselves with the high growth TI industries. It is feared that increased competition from other ASEAN countries could prove detrimental to the domestic producers in these industries. The concentration on manufactures is also defended because a large proportion of all imports and exports is made up of manufactured products. In 1994 total exports of manufactures were RM 112.2 RM (billion) while imports totaled 124.9 RM (billion). This compares with non-manufactures trade of only 40.5 RM (billion) and 24.9 RM (billion) for exports and imports respectively. For total trade in Malaysia in 1994, approximately 26% of exports were from natural resource intensive industries and 16% of imports. This compares with 73% and 80% for exports and imports of manufactures.

As you would expect the equivalent intra-industry trade values show that over 87% of total IIT is

Similar Documents

Premium Essay

Evolution of Trade Unions

...Critically discuss the statement that “the emergence of the trade union movement in the Commonwealth Caribbean was inevitable in the face of prevailing social, economic and political conditions in the 1930s”. In the 1930’s slavery was abolished because of prevailing social, economic and political conditions. The great depression came in the 1929 and later the World War II was a period of external crisis for everyone especially the Caribbean. This period was marked by widespread outbreaks of revolts and disturbances such as in Trinidad, St Kitts, Jamaica, Guyana, St Vincent and in Barbados. The economic, social and political conditions were a major impact on the British West Indies economies. Were the construction of the US bases and other wartime faculties brought employment and income which also generated training for wider construction skills among the slaves, these skills were increased by the slaves, for a wide range of import-substituting activities such as domestic market and also exporting activities such as lime and limestone, matches, industrial gases and secondary industries, serving the local market such as food, drink, tobacco, clothing and household items and also local artisan and handicraft. Due to the war the trade was disrupted all the export industries were affected therefore, the colonial economy collapsed and undertook extreme vulnerability to metropolitan markets; grievances of the peasants against plantation interest; the growth of the working class...

Words: 2057 - Pages: 9

Premium Essay

Evolution of Trade Union

...States. Their activity today centers on collective bargaining over wages, benefits, and working conditions for their membership, and on representing their members in disputes with management over violations of contract provisions. Larger unions also typically engage in lobbying activities and supporting endorsed candidates at the state and federal level. Most unions in America are aligned with one of two larger umbrella organizations: the AFL-CIO created in 1955, and the Change to Win Federation which split from the AFL-CIO in 2005. Both advocate policies and legislation on behalf of workers in the United States and Canada, and take an active role in politics. The AFL-CIO is especially concerned with global trade issues. Child laborers in an Indiana glass works. Trade unions have an objective interest in combating child labor. In 2010, the percentage of workers belonging to a union in the United States (or total labor union "density") was 11.4%, compared to 18.3% in Japan, 27.5% in Canada, and 70% in Finland.[20] Union membership in the private sector has fallen under 7%[21] – levels not seen since 1932. Unions allege that employer-incited opposition has contributed to this decline in membership. The most prominent unions are amongpublic sector employees such as teachers and police. Members of unions are disproportionately older, male and residents of the Northeast, the Midwest, and California.[22] Union workers average 10-30% higher pay than non-union in America after controlling...

Words: 352 - Pages: 2

Premium Essay

Evolution of Trade Theories over the Years

...Assignment I GOUTAM MUKHERJEE Ist Semester International Business Evolution of Trade Theories over the years Trade among counties is happening for ages. At the very basics, trade is about buying and selling – something human beings have been doing since they started living in societies. However, the same used to happen without any rules and regulations and completely depending on the individual or a group of traders. Over period of time countries have realized the need of cross country trading in a structured manner which can bring benefits to the economy and socio-political development. The countries may have strengths in one area based on their populations, or by strategically placed location or by natural resources it has. The countries need to focus on that what they can do best and import what they can get cheaper compared to production in own country. This new era that is unfolding amidst us is characterized by ideas and innovation. It took thousands of years for human society to progress from an agricultural economy to an industrial economy. Here are the trade theories which discussed on self sufficiency and free trade policies. Mercantilist policy tries to make a country self sufficient. Interventionist Mercantilism: According to this theory a country’s wealth is measured by its holdings of treasure, which usually meant its gold. This means a country should export more than imports, if successful, receive gold...

Words: 1296 - Pages: 6

Premium Essay

11wraaa

...International Trade Policy and Trade Institutions 1 Global Marketing: Foreign Entry, Market Development & Strategy Implementation First Canadian Edition (Czinkota/Ronkainen/Farrell/McTavish) Copyright © 2009 by Nelson Education Limited Evolution of International Trade 2  Mercantilism (1500 – 1750)  Import raw materials from ‘colonies’ at low cost  Positive balance of trade Exports subsidized  Imports taxed   Create positive balance of trade Copyright © 2009 by Nelson Education Limited Evolution of International Trade 3  Theory of Absolute Advantage  Country specializes only in products they can produce efficiently Natural resources  Fewest units of labour to produce    Import all other products Encourages trading between countries  Theory of Comparative Advantage  Does not require Absolute Advantage to trade  Trade to maximize labour effectiveness for the country Copyright © 2009 by Nelson Education Limited Evolution of International Trade 4  Heckscher-Ohlin Model  Extends comparative advantage  Factors that vary by country Labour  Capital   Trading based on price differences between countries  Product Cycle Theory  Stage 1 – innovative product, home country develops and sells domestically  Stage 2 – begin export to other similar countries  Stage 3 – manufacture in developing countries, sell everywhere Copyright © 2009 by Nelson Education Limited Evolution of International Trade 5 ...

Words: 943 - Pages: 4

Premium Essay

International Trade

...A troubling trajectory; International trade Competition in smartphones has intensified thanks to lower-cost rivals such as China's Xiaomi. It uses a similar supply chain, but slightly fewer parts are imported: the growing sophistication of Chinese manufacturers means that more components are being made at home. The rapid spread and subsequent slight retreat of such far-flung supply chains provides one possible explanation to a puzzle that is troubling policymakers: why international trade has been growing no faster than global GDP in the past few years. The notion of "peak trade" is being taken increasingly seriously. The composition of global demand could yet move back towards greater trade intensity, for several reasons. Whether trade is declining relative to GDP and why may not be clear for years. Yet one thing is: were more barriers to be lifted, especially in areas like services and farming where many still remain, it would probably lead to a new spurt in the evolution of supply chains that would lift trade far above today's "peak". Fears are growing that trade's share of the world's GDP has peaked. But that is far from certain WHEN Apple launched the iPhone in 2007, it deployed a state-of-the-art global supply chain. Although the pioneering smartphone was designed in America, and sold first to consumers there, it arrived in stores from Shenzhen, China. It had been assembled there by Foxconn International from parts made by two firms in Singapore, six in Taiwan and...

Words: 1438 - Pages: 6

Free Essay

Anthro 150

...Anthro 150 Extra Credit Assignment Archeological and anthropological data and theories have supported the idea that all human societies have developed along a universal “evolutionary” trajectory. Human societies started as small and egalitarian, then transitioned to large and socially complex. This evolution from “foragers” to “states” has paved the way for various theories about the progression of the human race. In Yoffee’s article, “Too Many Chiefs?” he discussed the idea of neo-evolutionism. He describes neo-evolutionism as being a stepladder model of bands turning into tribes, then chiefdoms, and finally states (Yoffee 1993). This model has been used for the past three decades, and has helped archeologists research the early states. Despite its benefits when investigating the rise of early states, this model has been rejected and critiqued by many people. Some anthropologists reject this theory due to their inability to see evolution on one trajectory. Those who reject neo-evolutionism allow for more informative theories of social change and evolution. The idea that all human societies develop along a universal “evolutionary” trajectory can be proved using a new social evolutionary theory discussed in Yoffee’s article, “Too Many Cheifs?” Yoffee breaks down the key components of the new social evolutionary theory and relates them to neoevolutionism. He shows that while taking the idea of a trajectory into account, the new social evolutionary theory does not rest solely...

Words: 1213 - Pages: 5

Free Essay

Beren Robinson’s Field Study

...Beren Robinson’s Field Study The field study by Beren Robinson is an exceptional study of threespine sticklebacks, which relate to ecology evolution. The original findings of researchers differ from Robinson’s field study. Robinson’s hypothesis states the threespine sticklebacks diverse phenotypes are the creation of natural selection supporting the discrepancy in the population. The variables in the study are diet and environmental conditions. Ecologists use evidence and observation to quantify results by using information from other studies and experiments. Robinson’s field study relates to evolution and natural selection, and each play an important role in ecology. Robinson’s field study should alter variables of life span, growth rate, and body size to understand the evolution of the threespine stickleback species. Original Observations of Researchers The field study by Beren Robinson is a study to determine how the threespine stickleback species of fish have evolved. The threespine sticklebacks went through an increased era of time. Only two species of threespine sticklebacks inhabit in a lake. Original observations of researchers suggest that opposing selective pressures in open-water and shallow water are factors in the evolution of the threespine sticklebacks (Smith & Smith, 2009). Robinson’s study proves a different analysis and suggests natural selection is a key factor. The study by Beren Robinson and the department of Zoology at the University of Guelph...

Words: 1001 - Pages: 5

Premium Essay

World Trade Organization and Gatt

...The World Trade Organization and General Agreement on Tariffs and Trade The World Trade Organization (WTO) is the organization that discusses, negotiates and puts in place rules and regulations for trade between countries. The WTO maintains trade barriers and prevents the spread of disease and protects the environment (Understanding the WTO. 2011). The WTO is a forum where problems with traded go to be negotiated and sorted out by government officials. The General Agreement on Tariffs and Trade (GATT) is a set of multilateral trade agreements which works to abolish quotas, reduce tariff or taxes and trade without discrimination (Britannica.com 2016) The Evolution of WTO and Its Current Role Unlike GATT WTO is an organization that is equally represented by the countries that take part. According to Cateor, Gilly,& Graham 2013 the WTO has been the forum for successful negotiations between it’s members to open markets in telecommunications and information technology. WTO works with GATT to help settle trade disputes and gives members a guild line to follow when trading with other countries.There are currently 162 countries involved in the WTO (Wto.org 2016). The Evolution of GATT Through the GATT many countries have opened up their borders to trade, it has also helped reduce the tariff on goods sold in other countries (Cateor, Gilly,& Graham 2013). Over the years, the GATT has worked hard to open borders and allow business to trade freely with other countries without...

Words: 495 - Pages: 2

Premium Essay

Industrial Relations

...HRM 603: Comparative Studies of Industrial or Employment Relations Assignment 1 Trimester 3 2013 HRM 603: Comparative Studies of Industrial or Employment Relations Assignment 1 Trimester 3 2013 Name: Cagi Merelita ID no.: 2011001230 Table of Contents Introduction 1 The development & evolution of IR/ER system 2 The development & evolution of IR/ER system in the Fiji Island 3 The IR/ER system of Australia against that of the Fiji Islands 4 The emerging issues & recent trends in IR/ER in both nations 5 Considered key roles & responsibilities by the major actors in an IR/ER system in each country 6 Major actor’s roles & responsibilities that are considered most significant in an IR/ER context & why 8 Bibliography 9 Introduction Employment Relations are the employer and employee relationship, it also describes the relationship between workers and employers in business (Employer and Employee Relations, 2011). Employment Relations is important because it encourages motivation, it builds up the reputation of a worker and the business through the increase in number of potential customers, investors and staff, increase in productivity output, efficiency and profit levels (Employer and Employee Relations, 2011). With the changing industrial landscape in every country or nation, the growth of new townships/cities and the dispersal of activity, a process of ‘industrial culturalisation’...

Words: 2317 - Pages: 10

Premium Essay

Rfid to Prevent Prescription Drug Diversion

...FREE TRADE AND ECONOMIC GROWTH An evaluation of the American – Peruvian Free Trade Agreement, 5 years after its implementation Adolfo Neira Economy (ECON6090) William Paterson University 10/24/14 Professor Dr. Taghi Ramin Contents ABSTRACT 3 INTRODUCTION 4 LITERATURE REVIEW 9 METHODOLOGY 11 FINDINGS AND DISCUSSION 13 CONCLUSION 17 REFERENCES 20 ANNEX OF FIGURES AND TABLES 22 Figure 1. Peru nominal and real GDP, 1994-2013 and Inflation Rate, 1994-2013 22 Figure 2. Peru Exports (FOB) and Imports (CIF). 1994-2013 22 Figure 3. Peru Trade Openness Index and Contribution of US trade to TOI. 23 Table 1. Trade evolution for Exports, Imports, and Trade Balance, Peru-USA 2009-2013. 23 Figure 4. Trade evolution for Exports, Imports, and Trade Balance, Peru-USA 2009-2013. 24 Figure 5. Peru-USA Trade Exports and Imports per capita. 2009-2013. 24 Figure 6. Peru-USA and Peru-World Net Trade and Balance Trade Comparison. 2009-2013. 25 Figure 7. Peru’s Foreign Direct Investment stock and flow (Equity Capital). 2003-2013. 25 ABSTRACT Peru has signed a Free Trade Agreement with United States on February 2009, this FTA with the US is a balanced and comprehensive agreement covering all aspects of bilateral economic relationship such as: trade in goods, investment promotion, procurement, border services, and protection of intellectual property. It also includes chapters on labor and environmental protection. Objectives for the Agreement are of two...

Words: 5857 - Pages: 24

Premium Essay

10 Years in Review

... |[pic] | Total Value of share trading +61% [pic] As compared to the market capitalization evolution, it is interesting to note that the Americas remain very dominant, while the Asia-Pacific share has more than doubled compared to the EAME time zone[1]. |[pic] |[pic] | Total number of trades in equity shares +700% [pic] The explosion of the number of trades has to be compared to the average size of trades[2]. This average has dropped 85% over the last ten years[3]. [pic] When looking at the average size of trades in each time zone, it is interesting to note a clear convergence towards a comparable figure. It is also interesting to note that the downward trend started in 2000[4], and has accelerated for the last two years. The significant larger figure from the EAME time zone is consistent with its absolute value of share trading and the smaller figure of number of trades compared to the other regions. [pic] Total Number of Listings +41% [pic] The total number of listings has reached a stable figure (around 45 000) since 2005. This metrics is the most sensitive to the evolution of membership (the sharp increase in 2001 corresponds to the inclusion of Bombay Stock Exchange, National Stock Exchange of India,...

Words: 423 - Pages: 2

Premium Essay

China and Wto

...The University of Nottingham, Ningbo, China Division of International Business China and the World Trade Organization P13608 Module Outline Module Convenor: Dr Chieh Huang AB Room 379 chieh.huang@nottingham.edu.cn Office hours: Monday 10:30-12:30 10 credits TB329 Tuesday 2-4 PM 10 weekly two-hour lecture/seminars The course is taught by way of lecture/seminars which are two hours in length. The form of the lecture/seminars will be flexible, depending on the topic under consideration. Students are expected to participate fully in discussions in lecture/seminars and to have read all the set Essential Reading before class. Credits: Lecture Venue and Times Method of Delivery & Frequency on Class: Method and Criteria of Assessment: 100% Coursework (5000 words) Essay Submission Deadline is 4pm, Wednesday 27 November 2013 Topics: Please choose one area listed below and discuss its recent development in the context of China. You will need to narrow down your focus and set your own essay topic. 1. 2. 3. 4. 5. Non-market Economies in the WTO Energy Industry and the WTO Environment and the WTO Commentary on one WTO case involving China Self-selected topic upon approval (You are most welcome to decide a topic yourself. Once you decide to do so, however, you need to submit your topic and an one-paragraph abstract before 4pm 31 October. ) Module Aims: To give the students a broad knowledge of the multilateral trading system and China’s interaction with that system through...

Words: 3456 - Pages: 14

Premium Essay

Globalization

...globalization is seen both as a positive and as a negative trend. What are the main features of globalization, what are the future possibilities, and how will globalization have an effect upon your individual life? Outline “Nothing will be done anymore without the whole world meddling in it.” Paul Valéry  The History of Globalization  Positive Images of Globalization  Imbalance, Diversity, and Conflict: The Problems of Globalization  Global Tensions, Challenges, and Evolution for the Future Howard Bloom – The Deep History of Globalization – Reciprocity and Conquest  Global Communication and Networking of Life  Global Expansion of Humanity  Emergence of Cities and Trade Routes  Reciprocity and Conquest Robert Wright The Evolution of Win-Win Reciprocities in Human History  The Expansion of Economic Interdependencies and Exchange  The Expansion of Communication Networks  Cumulative Evolution of Civilizations John Naisbitt Globalization and Individualism  Increasing International Trade and Commerce  Free Enterprise  International Corporations Overturning National Economies  Global Marketplace  Global Tele-Communication  World Wide Monitoring  Global Citizens  Global Media  Intercultural Mixing  Global Empowerment of Individual Peter Schwartz The Long...

Words: 1140 - Pages: 5

Premium Essay

Susan Sleeper-Smith Analysis

...Susan Sleeper-Smiths’ article, “Women, Kin and Catholicism: New Perspectives on the Fur Trade”, uses the lives of four catholic native women to illustrate how Native women influenced the evolution of the fur trade, which in-turn redefined the role of women socially, culturally and economically. However, the article made reference to other works without providing sufficient context or explanation, as well as an incorrect citation. The article’s strength lies in it’s use of four women’s lives as represented by Jesuit records, as these records provide in-depth insight into their thinking and behaviour, although it is limited by the interpretations of the author. Sleeper-Smith also provides views contrary to hers and defends her position in order...

Words: 253 - Pages: 2

Premium Essay

Human Evolution: The Process Of Natural Selection

...What is human evolution? Human evolution is the process of change from when Humans were apelike. This process arose roughly 6 million years ago. Humans diverged from bonobos and chimpanzees. 2.5 million years ago the species were able to construct and utilize stone tools.Humans were able to create fire 700,000 to 120,000 years ago. Leaving africa occurred 1.8 million to .8 million years ago. The reason the theory of evolution exists is because of Charles Darwin, a British born Biologist and Scientist, he was able to devise the theory from a 5 year voyage around the earth. Charles Darwin notably wrote the book On The Origin Of Species, Where he states the process of natural selection. Most scientists recognize 15 to 20 species of early humans....

Words: 257 - Pages: 2