Global Patterns of + Inequalities in Trade Flows

Question 1

What are the global patterns of trade flows?

Answer 1

• dev. countries export high-valued goods + import raw materials + low cost products from dev. countries
  
  • e.g. China, which became top visible trader w total of $4159B in 2013
• regional trade blocs can inc intra-regional trade (e.g. EU facilitates trade within European countries w/o tariffs + quotas)
• dev. economies dominate global trade (e.g. USA is the top invisible trader w total = $1094B)

Question 2

What are the inequalities in trade flow?

Answer 2

• LICs are disadvantages bc have a small range of low-value exports (mainly primary products) + so are disadvantaged by terms of trade, + vulnerable to price fluctuations
• they’re also liable to trade barriers + agreements between countries