Patterns of Trade 4.1.3

Question 1

Define Patterns of Trade

Answer 1

This describes what is being traded and with who

Question 2

Who are the UK’s main trading partners

Answer 2

USA
Germany
Netherlands
France

Question 3

Give 3 reasons why the pattern of trade has changed over the past 50 years

Answer 3

• Trade Blocs
• Emerging economies
• Ex-communist countries

Question 4

What impact does rapid growth such as China and India have on the pattern of trade in the global economy?

Answer 4

• China’s rapid growth is down to export led growth. This means they increase their exports to different countries and as they have very low labour costs, their total cost is lower than most developed countries. This makes China attractive to trade with. If a country changes their trade partner to China in a specific good the initial trade partner is forced to find a new economy to trade with or a new comparative advantage. As countries are changing their trade partners, the pattern of trade is changing.