global economy AKA

the International exchange of goods and services

the free movement of goods, capital, services, technology and information

drivers of global economy:

What is happening in the Global Economy

A situation where countries trade with many other countries and where trade barriers are being lessen to let countries free from restrictions on the flow of goods and services.

an arrangement among nations to work together to come up with policies that would eliminate trade barriers and a common goal to strengthen trade and for the coordination of monetary and fiscal policies.

factors of economic integration:

history of economic integration:

Exchange of goods and services between 2 or more parties without the use of money

nation’s wealth and power come from increasing exports and trade

factory system that lead to mass production in a faster and easy way

key players of economic globalization:

types of economy in global economy

Protecting one’s economy from foreign competition by creating trade barriers

Reducing trade barriers to make international trade easier between countries

Protective barriers measure:

Tax on imported goods

Assigned or fixed number or quantity of imported goods

domestic laws implemented to protect local or infant industries against foreign businesses.

It occurs when prices among prices among different locations of related goods follow similar patterns over a long period of time.

Group of goods often move proportionally to each other and when this relation is very clear among different markets

It is chartered by more than one country and therefore are subjects to international law

It's owners or shareholders are generally national goverments, although other international institutions and other organizations occasionally figure as shareholders.

were established to assist and offer various ways and strategies to countries for economic cooperation particularly for global financial system management.

It focused on trade goods through multinational trade agreements conducted in many rounds of negotiations.

forum for the meeting of representatives from 23 member states.

is an independent multilateral organization that became responsible for trade in services, nontariff-related barriers to trade

HISTORY OF MARKET INTEGRATION:

invention of steam engine

EGONOMIC MODELS DURING THE INDUSTRIAL REVOLUTION:

all natural resources and means of production are privately owned

means of production are under collective ownership

property is owned by the government and given to all of people not just wealthy individuals

based on services and production of ideas rather than goods