It regards "economic globalization" as a historical process representing the result of human innovation an technological progress.

It is characterized by the increasing integration of economies around the world through the movement of goods, services, and capital across borders.

It is not a bank and does not intermediate between investors and recipients. These resources come from quota subscriptions, or membership fees, paid in by the IMF's 189 member countries.

Its primary mission to ensure monetary stability around the world.

IT is an investment bank, intermediating between investors and recipients, borrowing from the one and lending to the other.

It refers to the increasing interdependence of world economies as a result of the growing scale of cross- border trade of commodities and services, flow of international capital and wide and rapid spread of technologies.

The conclusion of World War II signaled the beginning of trade facilitation around the globe.

Economies set rules and guidelines for international trade which led to the formation of General Agreement on Tariffs and Trade (GATT). These trade rules were developed through series of rounds or meetings of member 'economies.

It is the process and system when goods, commodities, services cross national economy, and boundaries in exchange for money or goods of another country (Balaam and Veseth, 2008).

Global trade has grown dramatically since the post-cold war era as a result of increasing demand of goods and services of countries. This global norm is a reflection of growing practice of internationalizing and globalizing local products and services.

-exchange of goods, services, and capital across national borders.

-exchange of goods and services along international borders. This type of trade allows for a greater competition and more competitive pricing in the market

It is the value of the finished domestic goods and services produced within a nation's borders.

it is the value of all finished goods and services produced by a country's citizens, both domestically and abroad

Trade Theories

It deals with the natural order and movement of trade. it describes the pattern of trade under the idea of laissez faire. It refers to the notion that individuals are the best economic agents to solve the problems through invisible hand rather than the government 'policies.

Descriptive theory addresses the questions of which product to trade, how much product to offer and produce, and which country to trade in the absence of government restrictions.

This prescribes whether government, an important economic institution, should interfere and restrict with the movement of goods and services.

Prescriptive theory views government to have participation in deciding which countries to alter the amount, composition and direction of goods.

The pressing question describing descriptive theory is?

the oldest known international trade route but it is not truly "global".

The age of globalization began when "all important populated continents began to exchange products continuously- both with each other directly and indirectly via other continents- and in values sufficient to generate crucial impact on all trading partner."

When galleon trade happens and this is the first time that Americas were directly connected to Asian trading routes.

It happens 1571 and this is the first time that Americas were directly connected to Asian trading routes.

The galleon trade was part of the edge of mercantilism.

an economic practice by which governments used their economies to increase state power at the expense of other countries. It is also a system of global trade with multiple restrictions.

Countries, primarily in Europe, competed with one another to sell more goods as a means to boost their country's income (called monetary reserves later on).

Focuses of Trade Policy in International Trade

a tax imposed by the government of a country or by a supranational union on imports or exports of goods

refers to any regulation or policy that restricts international trade, especially tariffs, quotas, licenses etc.

Ensure that imported products in the country are of high quality. Inspection regulations laid down by public officials ensure the safety and quality standards of imported products.

Open trade system emerged during this time, when, following the lead of the United Kingdom, the United States and other European nations adopted the gold standard at an international monetary conference in Paris.

Open trade system emerged during this 1867, when, following the lead of the United Kingdom, the United States and other European nations_________at an international monetary conference in Paris.

Countries depleted their gold reserves to fund their armies, many were forced to abandon the gold standards. Since European countries had low gold reserves, they adopted floating currencies that were no longer redeemable in gold.

Since gold reserves, they _________ that were no longer redeemable in gold.

Since European countries had low gold reserves, when did they adopted floating currencies that were no longer redeemable in gold.

refers to global economic crisis which started during 1920s and extended up to the 1930s.

End of using gold standards were until?

The world economy today us/uses?

During what time, did the stock market crashed. U.S. stopped linking dollars to gold. This resulted on Keynesian economics could not have predicted- a phenomenon called stagflation.

During this time, the stock market crashed. U.S. stopped linking dollars to gold. This resulted on Keynesian economics could not have predicted- a phenomenon called_______

decline in economic growth and employment (stagnation) takes place alongside a sharp increase in prices (inflation).

Stagflation decline in economic growth and employment______takes place alongside a sharp increase in prices________

They argued that the governments' practice of pouring money into their economies had caused inflation by increasing demand for goods without necessarily increasingly supply.

they argued that government intervention in economies distort the proper functioning of the market.

It emphasizes free markets (1980s onwards).

He dominated global economic policies from the 1980s until early 2000s, it advocates pushed for minimal government spending to reduce government debt.

Washington Consensus they also called for the privatization of government-controlled services like water, power, communications, and transport, believing that the free market can produce the best results.