International trade

Курсовая работа 21 стр., с презентацией. Написана 22.09.2016. Оригинальность 68%. ...

Contents
1. Introduction -----------------------------------------------------1
2. International trade as a form of international economic relations-2
3. The principles of international trade-----------------------------4
3.1 The principle of absolute advantage------------------------------5
3.2 The principle of comparative advantage---------------------------5
4. Types of exchange in international trade relations----------------6
4.1 Import----------------------------------------------------------7
4.2 Export-----------------------------------------------------------7
5. Foreign policy of the state--------------------------------------8
5.1 Protectionism---------------------------------------------------8
5.2 Fair trade policies----------------------------------------------8
5.3 The free trade (free trading) -----------------------------------9
6. Methods of state regulation---------------------------------------10
6.1 Tariff-----------------------------------------------------------10
6.2 Non-tariff-------------------------------------------------------11
7. The positive impact of international trade on national policy-----11
7.1 Economic Integration--------------------------------------------12
7.2 Increase the efficiency of national economies-------------------12
7.3 The formation of stable economic ties---------------------------12
7.4 Obtaining the necessary economic benefits------------------------13
7.5 Increase in state budget revenues--------------------------------13
8. Conclusion--------------------------------------------------------14
9. Glossary----------------------------------------------------------14
10. Bibliography ----------------------------------------------------15

1. Introduction
International trade is the most advanced and common form of international economic relations. It takes the main place among the modern foreign policy interests and problems of the world. Therefore, the study of its essence, and the dynamics of the modern structure is an important element to determine the foreign policy of its development programs.
On this basis, we can formulate the following main objective of the course work is the determination of the nature, the study of the dynamics and structure of international trade. This purpose of the course work involves the following basic tasks: definition of the nature of world trade; a study of the current state of world trade and its development trends; defining features of the structure of world trade at the present stage ; review of current policies on international trade. Thus, in this work course the object of study will be international trade, itself, and the subject - the factors, dynamics and structure of modern international trade. This is a prerequisite for both of individual organizations related to foreign trade and the activities of each state in the implementation of its foreign policy and the development of medium- and long-term development programs. Therefore, monitoring of the state of international trade, as well as forecasting and planning processes do not stop, resulting in a broad interest in the topic. In international trade there are articles in all, without exception, the literature on international economic relations. You can identify these authors: Adam Smith , David Ricardo and others, cast light on the theoretical foundations of international trade more broadly.
Application analysis as a method to study the changes in international trade at the present stage involves consideration of two aspects: first, the rate of its growth as a whole (exports and imports) and the relative growth of production; Second, changes in the structure: the commodity (the ratio of the major groups of goods and services) and geographical (the share of regions, groups of countries and individual countries). The very theme of the work involves the study not only the quantitative characteristics of the changes in international trade, but also the qualitative aspects of these changes. As a result of the analysis using method of synthesis, conclusions will be drawn about the dynamics and structure of international trade. In accordance with the method of grouping will form a group of basic indicators of international trade, its forms, as well as characterized by its structure.

One type of trade included in types of international trade is intra-industry trade in which importers import goods that are similar to those produced in the country. An example of this type of sale can be seen in the importation of automobiles. Practically every country that produces automobiles also imports other types of automobiles from other countries. In intra-firm trade, the international trade is confined to various arms or subsidiaries of a multi-national corporation. The corporation may be a franchise or it may simply be a big organization with international outlets. Inter-firm trade occurs between different types of companies that produce different types of goods. This type of trade may be seen in the case of a supplier of raw materials and a company that is importing the raw materials, which is based in another country. Inter-industry trade refers to the method of trade whereby parties from two countries exchange goods that are not manufactured in either country. For example, a country that has oil may export the oil to a country that has no oil deposits, and as such is incapable of manufacturing oil. The destination country may in turn export apples to the oil-producing country. The oil-producing country may not have the right weather for the growth of apples. In this case, an inter-industry trade has occurred between the two countries, since the items that were exchanged were items that could not be manufactured or produced in either country. Sometimes the reasons why the countries are not able to manufacture the items may include a lack of technical ability to produce the item or lack of raw materials. Even though it is mainly material items in inter-industry trade that are included in the types of international trade, intangible items like skills and services are also involved. For instance, country A could recruit experts from country B to come and help them design and build a subway system. Country B could also recruit skilled agricultural workers from country A to come and help them implement an effective agricultural irrigation system. In this case, an inter-trade in skills has occurred.4.1 ImportImports are defined as purchases of goods or services by a domestic economy from a foreign economy. The domestic purchaser of the good or service is called an importer. Imports and exports are critical for many economies and they are the defining financial transactions of international trade. Here are five key benefits associated with importing from foreign markets: comparative advantage means lower-priced goods, importing can mean higher-quality products, many governments actively support trade relations and aim to make importing easy for your business, importing grants access to regionally exclusive resources, various benefits stemming from trade agreements.4.2 ExportThe term export means shipping in the goods and services out of the jurisdiction of a country. The seller of such goods and services is referred to as an "exporter" and is based in the country of export whereas the overseas based buyer is referred to as an "importer". In international trade, "exports" refers to selling goods and services produced in the home country to other markets. Export of commercial quantities of goods normally requires involvement of the customs authorities in both the country of export and the country of import. There are many good reasons (or benefits) for exporting. These include the following: increasing sales, increasing profits, reducing risk and balancing growth, lower unit costs, economies of scale, minimizing the effect of seasonal fluctuations in sales, small and/or saturated domestic markets, extending the product life-cycle, improving efficiency and product quality.5. Foreign policy of the stateThe main objective of foreign policy is to use diplomacy — or talking, meeting, and making agreements — to solve international problems. They try to keep problems from developing into conflicts that require military settlements. The President almost always has the primary responsibility for shaping foreign policy. Presidents, or their representatives, meet with leaders of other nations to try to resolve international problems peacefully. The question regarding the goals of a foreign policy may be different based on the objectives of any particular government. Here are the basic goals of foreign policy: 1) national security, 2) free and open trade, 3) world peace, 4) democratic governments, 5) concern for humanity. The mentioned foreign policy goal "national security" in the vast majority of the world's nations is not a responsibility of foreign policy, which most often delegated to a department of state or perhaps to a department of foreign affairs.  5.1 ProtectionismOne of the greatest international economic debates of all time has been the issue of free trade versus protectionism. In economics, protectionism is the economic policy of restraining trade between countries through methods such as tariffs on imported goods, restrictive quotas, and a variety of other government regulations designed to allow (according to proponents) fair competition between imports and goods and services produced domestically. According to their proponents, protectionist policies protect the businesses and workers within a country by restricting or regulating trade with foreign nations. In recent years, protectionism has manifested itself through popular anti-globalization and anti-immigration movements. The doctrine of protectionism contrasts with the doctrine of free trade, where governments reduce as much as possible the barriers to trade. There is a broad consensus among economists that the impact of protectionism on economic growth (and on economic welfare in general) is largely negative. This idea originated with the influential British economist, philosopher, and author of The Wealth of Nations, Adam Smith. He states that the idea of free trade allows the efficient use of economic resources and will promote international cooperation. 5.2 Fair trade policiesFair trade is an alternative approach to conventional trade and is based on a partnership between producers and consumers. When farmers can sell on Fair trade terms, it provides them with a better deal and improved terms of trade. This allows them the opportunity to improve their lives and plan for their future. Fair trade offers consumers a powerful way to reduce poverty through their every day shopping. When a product carries the FAIRTRADE Mark it means the producers and HYPERLINK "http://s.igmhb.com/click?v=UlU6MTE5NzM3OjE5Njc2OnRyYWRlcnM6MjA0NmMyYjVmZWIwODQyYjRmM2E0OWRjYzE0YThhMjM6ei0yNDQ5LTg3ODIwODUzOnd3dy5mYWlydHJhZGUubmV0OjM0MjA3Mzo1YzNhNTU1NGJjY2E1ZDYxMDIzNTVkYTE2MDNkODdhYTozNTYxZThmNjUxZWE0YTA0YmFiYmYyZTc2MWM3Y2Q3ZjowOmRhdGFfc3MsOTAweDE2MDA7ZGF0YV9yYywxO2RhdGFfZmIsbm87OjUyNjk2Mjc6dndvcHQsMA&subid=g-87820853-89191d73b7b045b4afa8b40f714785df-&data_ss=900x1600&data_rc=1&data_fb=no&data_tagname=A&data_ct=image_only&data_clickel=link&data_sid=48da9a238afe4da03b41c916870d4762" \o "Нажмите, чтобы продолжить, Advert" \t "a652c_1464116288_wwwfairtradenet_342073" traders  have met Fair trade Standards. The Fair trade Standards are designed to address the imbalance of power in trading relationships, unstable markets and the injustices of conventional trade. There are distinct sets of Fair tradeStandards, which acknowledge different types of producers. One set of standards applies to smallholders that are working together in cooperatives or other organizations with a democratic structure. The other set applies to workers, whose employers pay decent wages, guarantee the right to join trade unions, ensure health and safety standards and provide adequate housing where relevant. Fair trade Standards also cover terms of trade. Most products have a set Fair trade Minimum Price, which is the minimum that must be paid to the producers. In addition producers get an additional sum, the Fair trade Premium, to invest in their communities or businesses.  There are now thousands of products that carry the FAIRTRADE Mark. Fair trade Standards exist for food products ranging from tea and coffee to fresh fruits and nuts. There are also standards for non-food products such as flowers and plants, sports balls and seed cotton. INCLUDEPICTURE "http://cdncache-a.akamaihd.net/items/it/img/arrow-10x10.png" \* MERGEFORMATINET 5.3 The free trade (free trading)Policy of non-interference by government in foreign trade is referred to as “free trade”. Free trade policy implies absence of any artificial restriction on or obstacle to the freedom of trade of a country with other nations. According to Adam Smith, the term “free trade” is used to denote “that system of commercial policy which draws no distinction between domestic and foreign commodities and, therefore, neither imposes additional burdens on the latter, nor grants any special favor to the former.” In other words, free trade implies complete freedom of international exchange. Under such a policy there are no barriers to the movement of goods among countries and exchange can take its perfectly natural course. Here are the advantages of free trading: comparative cost advantage, more factor earnings, cheaper imports, enlarged market, competition, restricted exploitation, greater welfare. Despite many advantages, free trade policy has never been completely adopted by all the countries of the world. Particularly after the World War II, the policy was abandoned even by those who had previously adopted it. The following arguments are given against free trade policy: unrealistic policy, non-cooperation of countries, economic dependence, political slavery, unbalanced development, harmful products, international monopolies, harmful to less developed countries.6. Methods of state regulationTrade Regulations are laws enacted by Congress and/or by a state to ensure a free and competitive economy. These regulations promote free trade and fair competition, and prohibit anti-competitive business practices. Trade regulation is closely associated with antitrust law, and is often referred to as antitrust and trade regulation law. Antitrust law prohibits anti-competitive conduct or business structures, such as price-fixing, bid-rigging, trusts and monopolies. For the regulation of trade are set barriers. A barrier to trade is a government-imposed restraint on the flow of international goods or services. The most common barrier to trade is a tariff—a tax on imports. Tariffs raise the price of imported goods relative to domestic goods (goods produced at home). Another common barrier to trade is a government subsidy to a particular domestic industry. Subsidies make those goods cheaper to produce than in foreign markets. This results in a lower domestic price. Both tariffs and subsidies raise the price of foreign goods relative to domestic goods, which reduces imports. Yet another barrier to trade is an embargo—a blockade or political agreement that limits a foreign country's ability to export or import. Barriers to trade are often called "protection" because their stated purpose is to shield or advance particular industries or segments of an economy. From an economic perspective, though, the costs to the economy almost always outweigh the benefits enjoyed by those who are protected. 6.1 Tariff In simplest terms, a tariff is a tax. It adds to the cost of imported goods and is one of several trade policies that a country can enact. Tariffs are often created to protect infant industries and developing economies, but are also used by more advanced economies with developed industries. Tariffs increase the prices of imported goods. Because of this, domestic producers are not forced to reduce their prices from increased competition, and domestic consumers are left paying higher prices as a result. Tariffs also reduce efficiencies by allowing companies that would not exist in a more competitive market to remain open. The benefits of tariffs are uneven. Because a tariff is a tax, the government will see increased revenue as imports enter the domestic market. Domestic industries also benefit from a reduction in competition, since import prices are artificially inflated. Unfortunately for consumers - both individual consumers and businesses - higher import prices mean higher prices for goods. If the price of steel is inflated due to tariffs, individual consumers pay more for products using steel, and businesses pay more for steel that they use to make goods. In short, tariffs and trade barriers tend to be pro-producer and anti-consumer. The role tariffs play in international trade has declined in modern times. 6.2 Non-tariff Non-Tariff Barriers (NTBs) refer to restrictions that result from prohibitions, conditions, or specific market requirements that make importation or exportation of products difficult and/or costly. NTBs also include unjustified and/or improper application of Non-Tariff Measures (NTMs) such as sanitary and phytosanitary (SPS) measures and other technical barriers to Trade (TBT). NTBs arise from different measures taken by governments and authorities in the form of government laws, regulations, policies, conditions, restrictions or specific requirements, and private sector business practices, or prohibitions that protect the domestic industries from foreign competition. There are several different variants of division of non-tariff barriers. Some scholars divide between internal taxes, administrative barriers, health and sanitary regulations and government procurement policies. Others divide non-tariff barriers into more categories such as specific limitations on trade, customs and administrative entry procedures, standards, government participation in trade, charges on import, and other categories. The first category includes methods to directly import restrictions for protection of certain sectors of national industries: licensing and allocation of import quotas, antidumping and countervailing duties, import deposits, so-called voluntary export restraints, countervailing duties, the system of minimum import prices, etc. Under second category follow methods that are not directly aimed at restricting foreign trade and more related to the administrative bureaucracy, whose actions, however, restrict trade, for example: customs procedures, technical standards and norms, sanitary and veterinary standards, requirements for labeling and packaging, bottling, etc. The third category consists of methods that are not directly aimed at restricting the import or promoting the export, but the effects of which often lead to this result. The non-tariff barriers can include wide variety of restrictions to trade. 7. The positive impact of international trade on national policyInternational trade affects not only the economy of a country or nation; it also affects national policy, by the way, quite positively. One of the most important and efficient positive effects is, that international trade helps to enhance national security. Regardless of whether they are driven by the economic or political goals, regional trade agreements can enhance national security because it enlarges the level of trade between member countries and, in so doing, increases familiarity between the people of the member countries and lessens the degree of misconceptions. Enlarged economic integration could discourage war because it makes war more costly. Thus security issues provide a rational for discriminating against non-members and limiting trade preferences to member countries. 7.1 Economic integrationEconomic integration is an agreement among countries in a geographic region to reduce and ultimately remove, tariff and non tariff barriers to the free flow of goods or services and factors of production among each others; any type of arrangement in which countries agree to coordinate their trade, fiscal, and/or monetary policies are referred to as economic integration. Obviously, there are many different stages of integration. An increase of welfare has been recognized as a main objective of economic integration. The increase of trade between member states of economic unions is meant to lead to the increase of the GDP of its members, and hence, to better welfare. The degree of economic integration can be categorized into five stages: 1) free trade area, 2) customs union 3) single market, 4) economic and monetary union, 5) complete integration (political union).7.2 Increase the efficiency of national economiesInternational trade and its impact on economic growth crucially depend on globalization. As far as the impact of international trade on economic growth is concerned, the economists and policy makers of the developed and developing economies are divided into two separate groups. There is no denying that international trade is beneficial for the countries involved in trade, if practiced properly. International trade opens up the opportunities of global market to the entrepreneurs of the developing nations. International trade also makes the latest technology readily available to the businesses operating in these countries. It results in increased competition both in the domestic and global fronts. To compete with their global counterparts, the domestic entrepreneurs try to be more efficient and this in turn ensures efficient utilization of available resources. Open trade policies also bring in a host of related opportunities for the countries that are involved in international trade.7.3 The formation of stable economic tiesIncreased international trade, and the lowering of barriers to such trade, frequently results in improved international economic ties. As a result of the deepening international division of labor was the formation of stable economic relations between countries. A process known as internationalization of the economy, reflected in the growth of interdependence of national economies, the output of the reproduction process beyond national borders, in a growing participation of countries in the international division of labor. Despite the fact that economic and political ties between the two countries emerged with the advent of the nation-state, the formation of strong economic ties was only possible with the transition to large-scale machine production. 7.4 Obtaining the necessary economic benefits The economic significance of international trade has been theorized in the Industrial Age. The rise in the international trade is essential for the growth of globalization. Nations with strong international trade have become prosperous and have the power to control the world economy. According to the principle of comparative advantage, benefits of trade are dependent on the opportunity cost of production. Some important benefits of International Trade: enhances the domestic competitiveness, takes advantage of international trade technology, increase sales and profits, extend sales potential of the existing products, maintain cost competitiveness in your domestic market, enhance potential for expansion of your business, gains a global market share, reduce dependence on existing markets, stabilize seasonal market fluctuations.7.5 Increase in state budget revenues The International trade has an impact on the state budget through taxes and duties. Particularly in small developing countries tariffs can constitute a significant portion of government revenues. The state budget in turn is used to finance antipoverty programs thereby impacting on poverty. International trade, especially at an advanced level, is a market driven phenomenon. The great diversity of traded items is characteristic of developed, market-based economies in which imports account for a substantial share of people’s income.