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Political Economy of International Trade - Book Report/Review Example

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The paper discusses the political economy of international trade right from state power to agreements to structures of international trade.Through this topic, the author seeks to understand the factors that propel economic development …
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Political Economy of International Trade
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"Political Economy of International Trade"

Download file to see previous pages In order to understand theories of international trade, it is imperative to discuss state powers and structure. By doing so, we will open a new front into understanding how political economy influences international trade. This topic falls squarely under the auspices of international relations. To start with, different theorists have come up with theories on state power and structure. For many decades, experts in international trade have bureaucratized, trans-nationalized and multi-nationalized state power and structure making it just a systemic assemble rather than a virtual state. These theorists assume very many things, for example, they take the state as an entity that must work with the international community. In other words, the sovereignty of states do not count when it comes to internal trade and states must be ready to relinquish their sovereignties, become trapped in the international community for them to be real actors in international trade . The argument put across by many students of international relations where political economy of international trade is common is that interdependence among nations is not a recipe of state policies and choices, but rather a matter that nations could not do without due to the existing international systems that are beyond reach. This concept is explicit in the balance-of-power theory that discusses the impact of interdependence of nations for economic growth.
However, taking a critical analysis of this theory and argument, this perspective begs more questions than answers. To start with, this perspective may be right to an extent whereby it is able to highlight a myriad of developments within the international economic structure. On the contrary, this perspective does not give concrete explanations on state structure. It ignores the factors such as behavioral and institutional ...Download file to see next pagesRead More
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