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Enviado por pepe2091 • 3 de Febrero de 2014 • 379 Palabras (2 Páginas) • 68 Visitas
What factors influence the growth rate of the volume of world trade?
First a big factor in which a nation can specialize in a production where very efficient and the revenue earned to purchase items other nations, that as a nation we already costs more to produce. Another factor is the earnings of the nation, because this competition derives a nation to become more innovative and more efficient and last is that international trade provides the economy of a nation but also makes this same economy runs the risk being affected of external economies that have problems.
Name the most common fallacies regarding international trade.
One of the most common fallacies is "zero-sum activity, where this means that if a member wins the other loses" (page 12)
Fallacy or idea that is false is "the idea that imports are bad and exports are good" (page 13)
Another fallacy that imports reduce employment and are a dead weight on the economy, while exports promote growth and employment. This fallacy occurs when we do not consider the link between imports and exports, but you must know that depend on each other because if there import restrictions result serious decline in exports and there is the fallacy that "people often think that tariffs, quotas and other restrictions the import will safeguard jobs and encourage more employment. "(page 13)
What does international competitiveness? How do we apply this concept to a company, industry or nation?
How a company located in your nation and remains at the level of international business and world leaders. Governments are much fixed in the competitiveness of domestic firms is why some less competitive fail to last as long, the characteristics of a nation already as infrastructure, education, motivation greatly affect industries or companies and this benefits them that competitiveness is bigger every day.
To measure the international competitiveness of a nation proves to be more difficult but if a serious factor to see that every day people have a better quality of life, international trade also helps as much as we had mentioned people can apply their competitive advantage to specialize in products that are efficient and not have to do internally more expensive products leaving them and this leads to exports and imports are important to achieving the objective of improving the quality of life.
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