Economic integration - introduction
Did you know?
More than 1.3 million additional Western jobs will vanish by 2014 due to "the accelerated movement of work to India and other offshore locations"
Improved productivity, technological development (e.g. e-commerce) and better transport infrastructures are all contributing to the world becoming more integrated and interconnected. Goods can be produced anywhere and transported to their markets worldwide. 'Off-shoring' means that many services can be run from other countries where the cost base is lower. Increased interdependency makes trade issues even more important.
On the following pages, we look in more detail at the following topics:
- Preferential trade agreements
- Trading blocs
- Trade creation and trade diversion
- Obstacles to achieving integration