With increasing economic integration, the complexity of regulation is also increasing. These are a number of rules, enforcement and arbitration mechanisms to ensure that importers and exporters comply with the rules. Complexity has a cost that can compromise the competitiveness of territories in the context of economic integration, as it reduces the flexibility of national policies. The decentralization of economic integration could occur if the complexity and restrictions associated with it, including the loss of sovereignty, are no longer considered acceptable by its members. Analyze and assess the geographic consequences of global systems to specifically examine how international trade and variable market access underestimate and influence the lives of students and others around the world. The general pattern of international trade is that developed countries have more participation than developing countries. This means that there is a certain predominance in exports of goods and services. However, this situation has changed somewhat in recent years, with developed countries no longer having a larger share of trade. Emerging countries such as China, Brazil, India and South Korea are an excellent example.
Trade is an important driver of globalization, acting as an engine for the economic system. Trade can be defined as an exchange of goods and services, but when we talk about international trade, it is more common than just an exchange of things between countries. In between, there are political interests and situations that could make trade simple or complicated. To put it in perspective, it would be good to talk about what is called trade war. The President of the United States complained about unfair business with various countries, especially China. The problem is that the United States imports more from China than the country exports – it is called a trade deficit – that could cause unemployment. To address this, Mr. Trump decided to increase tariffs on Chinese products. The Doha trade negotiations in 2009 reduced barriers and increased world trade.
It has also practically strangled the import rules of agriculture, although the EU, among others, has refused to sign this part of the negotiations! Nevertheless, the negotiation of agreements has done the least developed countries (LDCs) good. For example, the “Everything but Arms” (EBA) initiative allows African countries to export their products to the EU duty-free. The Generalized Preference System (GSP), which reduces tariffs on the countries concerned, is another regime that favours LDCs. While all trade takes place between the different countries, some have come together to facilitate trade and make it cheaper. Countries unite and enter into trade agreements or alliances, also known as trading blocs. When a trade agreement is negotiated, countries attempt to regulate trade by adding quotas, restrictions or tariffs based on their interests. Sometimes these barriers to trade become what is called protectionism.