International Free Trade

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INTERNATIONAL FREE TRADE

International Free Trade

International Free Trade

Introduction

The importance of good performance of international relations in the development, political, commercial, cultural worldwide today is essential to achieve the integral development of nations. No single nation so that it can be considered self sufficient and does not need the assistance and support of other countries, even the richest nations need resources which they lack and that through negotiations and global agreements meet their needs and wants elsewhere. Climatic conditions of each nation to make exchange areas produce goods needed for survival and development of vital areas between nations. The development of trade makes countries international prosper by leveraging their assets grow best, and then exchange with other countries to see what they produce best. In this work developing international trade: definition, causes, origins, benefits, agencies, funding etc international as well as major global agreements that govern international trade (Linder, 2001, Pp. 25).

Discussion

In analyzing the economy, we must review the dimension that transcends the borders of a country, i.e., which addresses the problems international economic purposes. The importance of international relations in the sphere of trade, politics or culture has reached a global level, a deeper meaning to such an extent that one cannot speak only of goods but also exchange programs of integration. The international economy poses to study the problems of international economic transactions, therefore when we talk about international economy is to link co international trade factors (Helpman, 2005, pp. 121).

Free trade

Free Trade is an economic concept, concerning the sale of products between countries free of tariffs and any form of trade barriers. Free trade involves the removal of artificial barriers (government regulations) trade between individuals and companies from different countries. In a free trade treaty signatory countries agree to cancel each other border tariffs, ie, the prices of all products trade between them will be the same for everyone in the area, so that a country cannot increase (through import tariffs) the price of goods produced in another country that is part of the FTA. International trade is often restricted by various taxes national tariffs imposed on imported and exported goods and other non-monetary regulations on imported goods. Free trade is opposed all these restrictions (Cohn, 2002, pp. 39).

History

The Free trade was a political doctrine that emerged in the eighteenth century in opposition to then prevailing mercantilism. Its basic premise is that the restrictions imposed by governments to exchange volunteer goods and services harm the economy and reduce the volume of trade. Its advocates were divided between Utilities, defending pragmatism and benefits of increased trade, and the Manchester school (or liberal) that defending the fundamental right of every person to freely exchange their domestic and foreign property (Leontieff, 1999, pp. 332).

Free Trade and Protectionism

The principle of free trade came and improved in response to the protectionist measures of the state in different periods of national economic development, starting from the epoch of primitive accumulation of capital and ending time of the creation of national industries in ...
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