Trade Flashcards
What is international trade (2)
Import and export of goods and services between countries
Increased 8X between 1980-2008
How is patterns changing (3)
Developed countries remain biggest traders
Emerging countries are catching up
China = largest exporter
Less developed - AFRICA countries chnage in trading (2)
1995 = African countries accounted for 2% world trade
2010 = over 3%
What is fair trade
Way of trading that supports people in lesss developed countries who make products exported to developed countries
What is foreign direct investment
When a person, company or groups ends money to another country in order to generate profit
What attracts foreign investors (4)
Size of the market
Stability if market
Possibility of extracting resources
Ability to access large financial sector
Rise in FDI
volume increased from $400 billion in 1996 to $1500 billion in 2016
Pattern of investment chnage (2)
Since 1980s = developed countries began investing in emerging economies and developing countries
China, India, Brazil some of largest investors
Change in weβre investment comes from
Emerging economies invest alot
What is trading bloc (2)
Free trad between member countries
Common external tariff in non members
Developed countries trade + how much (2)
Most trade occurs between developed
2013 = imports and exports between us and eu accounted for over 30% global product trade
Emerging economies sector thatβs most important
Manufacturing sectors are increasingly important
Less developed countries trade with who
Mainly trade with less developed countries
What is access to markets (2)
How easy it is for countries and co panties to trade with each other
Determined by extent of barriers
Whatβs affects access to markets (3)
Wealth
Developed countries often put higher tariffs of goods imported to less developed C
Harder for less developed to access market
What increases access to market (2)
Trading blocs
Less developed may be left with high tariffs if not part of bloc