SESSION 1 – INTRODUCTION
Trade is what happens between nations (which can be big, small or even city state just like singapore), it could also be sending labour forces or capital from a country to another (old fashion way)
The international integration of national economies have brought many benefits to nations accross the globe, including technologal innovation, less expensive products, and greater investment in regions where local capital is scare, to name a few. But it also made countries vulnerable to economic problems that have become more easily transmitted from one place to another.
ELEMENTS OF INTERNATIONAL ECONOMIC INTEGRATION
Most people would agree that the major economies of the world are more integrated than at any time in history. Given our insantaneous communications, modern transportation and relatively open trading systems, most goods can move from one country to another without major obstacles and at relatively low cost.
Our current wave of economic integration began in the 1950s, with the reducation of trade barrier after WWII.
In the 1970s many countries began to encourage a financial integration by increasing the openness of their capital markets.
Internet in the 1990s along with the other IT pushed the economic integration to new levels as mutlinational firms develop international production networks and markets became ever more tightly linked.
Today's global economy is not the first instance of a dramatic growth, there was a period between 1870 and 1913 (facilitated by transports revolution, steam engines which means easier amount of work for human since it's taking care by the machines). New technologies such as transatlantic cables such as telegraphs, steam powered ships, railroads, and a number of other led the way much as they do today.
Instantaneous communications and rapid transportation, together with the easy availibility of foreign products, often cause us to lose sight of the...