Political International Economy: Free Trade or Isolationism Avoiding Trade Wars - Essay Example

Comments (0) Cite this document
Summary
Political International Economy: Free Trade or Isolationism? Avoiding Trade Wars Table of Contents Introduction 3 Thesis Statement 3 Discussion 4 Trade Wars 4 International Trade and Politics 5 Avoiding Trade Wars 7 Conclusion 8 Works Cited 10 Introduction In today’s converging world, the economy has generated entire new pattern for the 21st century business environment…
Download full paperFile format: .doc, available for editing
GRAB THE BEST PAPER95.7% of users find it useful
Political International Economy: Free Trade or Isolationism Avoiding Trade Wars
Read TextPreview

Extract of sample
"Political International Economy: Free Trade or Isolationism Avoiding Trade Wars"

Download file to see previous pages In other words, when every single nation of the globe is permitted to conduct free trade, the general financial condition of the world is expected to prosper. In the broader sense, trade (free trade in this case) can raise the income level and provide organizations and customers to have more choices to purchase products/services from their revenue. Unfortunately, there is also the occurrence of inequality with respect to deficits and surpluses in the monetary worth of products and services that are merchandized. Owing to these factors, considerable segment of concerned scholars, view the notion of free trade as a game with apparent winners and losers. Free trade also uncovers manufacturers and generates trade wars (Epping 43). Thesis Statement The paper will intend to describe the impact of free trade along with its relation to politics. The objective of the paper is to analyze the aspects of free trade and also to describe the methods through which the trade wars can be avoided in today’s 21st century. Discussion Trade Wars Free trade creates international competition among organizations which often results in layoffs and indolent plants. It creates difficulties for national capital cities which rely on industries of neighbor countries for occupation and tax income. However, nothing in the international economy remains identical in the long run. As a result of international competition, numerous local industries are stressed to consider the extreme measures in order to become more productive, thus permitting them to contend and flourish at local as well as in the global periphery. Free trade facilitates organizations to access the entire international market and thus they enjoy higher economies of scale in order to manufacture vast quantity of products at lower cost and positively impart cost advantages to customers equally in the cross border nations. Free trade generates tremendous economic consciousness for nations to alleviate their restrictions for trading purposes (Epping 43). Although trade wars generate prosperity for global economy, it also leads to losses at times. It can result in imposition of protecting local trade and trade barriers. Tariffs, quotas, and nontariff barriers are commonly used by governments. Tariff is considered as a kind of tax rate that is imposed on products for accessing certain state. On the other hand, quota restricts the level of foreign products which can be imported from a certain nation. Both have immense power to raise the expenses of manufacturing. Government also provides subsidy to the local manufacturers in order to make the cost of products artificially less compared to the cost of corresponding imported products. The trade policy often regulates affluence for economic groups and also gives rise to recurrent domestic political conflict (Spero and Hart 72). International Trade and Politics Stolper-Samulson has depicted that free trade provides advantages in relation to the locally abundant elements of manufacturing such as land, workforce, and wealth and also harms the locally scarce aspects of manufacturing. Higher free trade can increase the political strength of locally profuse facets of manufacturing, whereas declining free trade can damage these aspects (Frieden, Lake and Broz 318). Through protecting few productive or unproductive ...Download file to see next pagesRead More
Cite this document
  • APA
  • MLA
  • CHICAGO
(“Political International Economy: Free Trade or Isolationism Avoiding Essay”, n.d.)
Political International Economy: Free Trade or Isolationism Avoiding Essay. Retrieved from https://studentshare.org/history/1453871-political-international-economy-free-trade-or
(Political International Economy: Free Trade or Isolationism Avoiding Essay)
Political International Economy: Free Trade or Isolationism Avoiding Essay. https://studentshare.org/history/1453871-political-international-economy-free-trade-or.
“Political International Economy: Free Trade or Isolationism Avoiding Essay”, n.d. https://studentshare.org/history/1453871-political-international-economy-free-trade-or.
  • Cited: 0 times
Comments (0)
Click to create a comment or rate a document
CHECK THESE SAMPLES - THEY ALSO FIT YOUR TOPIC
Protection or Free Trade for International Trade
... puts some of the labor intensive local industries at a relative disadvantage. However, by moving to free-trade, countries are able to specialize in some other field where they have a comparative advantage. With such a specialization, the countries are able to take advantage of efficiencies generated from economies of scale and increased output. Also, free international trade increases the size of a firm’s market, resulting in lower average costs and increased productivity, ultimately leading to increased production. In the last few year, while China and India have taken up more work on the labor intensive industries, businesses in the developed countries have been able to actually take advantage of the lower cost and focus... Your Prof...
4 Pages(1000 words)Essay
Political Economy of International Trade
...Political Economy of International Trade Introduction Primarily, trade is an exchange of goods and it involves many factors such as policies and trade regulations. The exchange of goods can occur within a country or goods transported into another country—international markets. In the later, we refer to this as international trade. In order to facilitate efficient international trade, it is necessary that countries have free trade policies. For many decades, policies and trade regulations of...
8 Pages(2000 words)Book Report/Review
Free international trade
...in other parts of the world. Free international trade has led to maintenance of peace and stability, integration of the global financial systems and growth in the per capita consumption in the national economies (Feenstra, 2004). Free international trade benefits the countries through increased innovation and competition that leads to the reduction in the costs of production and market prices for the products. In this case, the open market practices put pressure on firms to implement innovative manufacturing technologies in order to compete effectively with their foreign counterparts in the same markets (Frederking,...
5 Pages(1250 words)Essay
Free Trade
...Free Trade refers to the open transactions between two countries without any form of interference from the government of these two nations in the form of tariff, quotas or other form of trade restrictions. Many countries have understood the importance of free-trade's necessity in terms of efficient consumption and production, economic growth and other economic benefits that are brought about by the trading between two or more countries. Many people consider free-trade leads to efficiency and their claim can be assessed by seeing the affect of tariff or import tax on imports. Here it must be kept in mind...
9 Pages(2250 words)Essay
Trade/Free-Trade Agreements
...the past few centuries in social, economic and political importance of such trading countries. Numerous factors contribute to the role trade has within international affairs, such as most importantly the increase in positive communication between foreign lands, healthy international trade negotiations and infrastructure can prevent unnecessary disputes and possible war! Other factors such as globalization 'to enhance the magnitude of trade internationally, industrialization, sophisticated transportation, global conglomerations, contracting out to foreign lands 'outsourcing' and economics over an...
3 Pages(750 words)Essay
Free Trade
...1. Argue using examples from sources why Free Trade has been good for Canada. Free trade is not just about external economies confined to outward investments and the costs attached to it. Here, there is an international exchange happening. In terms of outward investment, for instance, it becomes a benefit when it helps to spread the strength of Canadian firms over larger markets. In this regard, even though in a sense outward investment involves some transfer of jobs from Canada to a foreign country, it retains market access, which for its part contributes to Canada’s welfare once profit is remitted back to Canada. As a consequence it...
6 Pages(1500 words)Essay
Free Trade and Fair Trade
...Free Trade and Fair Trade Three decades separate the two articles for consideration in this paper. The famous Friedman stance is for unequivocal and unrestricted free trade, which has largely governed the direction of international trade negotiations since then. However, after thirty years, despite giant strides in world diplomacy, free trade seems to be an elusive goal. Stiglitz and Charlton, with the advantage of time and experience, have tempered Friedman’s theory with their idea of Fair Trade. Free Trade. In his 1980...
4 Pages(1000 words)Essay
Free Trade
...aspect of the union is critical to the realization of free trade within and across member states. The realization of global free trade is not an easy process. This is because diverse and dynamic factors affect trade activities within and across domestic, regional, national, and international levels. In today’s global economy, there are many different operational trade agreements and treaties. This shows the extent to which international trade players are willing to embrace and subsequently practice free trade. David Ricardo’s comparative...
6 Pages(1500 words)Essay
Free Trade
...Free Trade Supporters of free trade strongly argue that free trade is good for nations. That is true if seen from an economic perspective. The paper aims at exploring what is the basis for this argument and whether the US has benefitted from free trade agreements. However, at the same time, the critics of the free trade state that free trade has damaged the US economy; the paper would also attempt to find how far this is correct. The concept of free trade in the true sense has...
3 Pages(750 words)Research Paper
Free Trade
...Free trade Free trade is both a governance and business management function in which stakeholders develop effective mechanisms that permit unrestricted import and export of goods from their countries to the neighboring countries without restrictions. The growth of international trade and rapid development of economies relies on the types of business relationship a country develop with her neighbors. Free trade is therefore a contentious issue between Mexico and her neighbors including the United States and Canada. The three countries have conflicting interests in the development of...
5 Pages(1250 words)Essay
sponsored ads
We use cookies to create the best experience for you. Keep on browsing if you are OK with that, or find out how to manage cookies.
Let us find you another Essay on topic Political International Economy: Free Trade or Isolationism Avoiding Trade Wars for FREE!
logo footer
Contact us:
+16312120006
Contact Us Now
FREE Mobile Apps:
  • StudentShare App Store
  • StudentShare Google play
  • About StudentShare
  • Testimonials
  • FAQ
  • Blog
  • Free Essays
  • New Essays
  • Essays
  • Miscellaneous
  • The Newest Essay Topics
  • Index samples by all dates
Join us:
Contact Us