What is international trade? And why does it matter in the world today? In its most basic form, global trade is exchanging goods and services between countries, allowing nations to access resources, products, and innovations that would not otherwise be achievable. It is the result of centuries of history, where, initially, simple barter helped establish what we often see as a complex network for trade when exchanging physical objects on our planet. How did international trade become so entrenched in the economies of nation-states? Global trade expanded ever faster throughout history, propelled by empires, monetary reforms, technological innovations, and trade agreements. Each transition not only changed economic interdependence but also expanded the geography of trade. From the Silk Road to Ind today, in our Voice and I, each had its own time worldwide. What are the reasons for studying international trade in an increasingly globalized world? The importance of global trade is undergoing tremendous change, driven by digitalization, sustainability issues, and geopolitical circumstances that affect economies, jobs, and individual lives across the globe. With a basic understanding of international trade, we can see how the history of international trade has shaped the trends that affect and will continue to impact our global economy for years. Barter to Money: The Evolution of Trade The Transition from Barter to Currency What is the Evolution of trade systems? What motivated humans to shift from essential exchanges of goods and services to more sophisticated trading systems? While ancient cultures traded physical products through barter, the clearly defined needs of this technique naturally made a method for a more accessible exchange based upon fixed values, leading to the standardized currency that significantly changed trade and business. Silk Road (130 BCE – 1453 CE) Why was the Silk Road the lifeblood of ancient global trade? Covering 6,400 km and connecting Asia with Europe and Africa, these ancient trade routes and empires facilitated the exchange of silk, spices, ideas, and technologies that defined entire civilizations. Seas became the highways of antiquity’s commerce. What were the maritime trade routes? The expansion of the Mediterranean, led by the Phoenicians and Egyptians, among other ancient seafaring civilizations, paved the way for global trade and the exchange of ideas. The spice trade (15th – 17th centuries) What were Europeans willing to risk a difficult journey for the taste of the East? Many spices, such as pepper, cinnamon, and cloves, were in great demand in Europe, leading to competitive assertions to establish trade routes to Asia. Until 1498, what we now understand as globalization was limited to historical trade routes in the East and West until the Portuguese discovered a new sea route to India. The impact of the spice trade redefined global commerce by enriching European merchants. The Connection Between Global Empires and Trade Growth The Age of Exploration (15th – 18th centuries) What role did European exploration play in changing the course of global trade and empire-building? Motivated by wealth, European countries opened up and set sail to new worlds where colonies would bring about great global trade. The rediscovery of the New World by the time Christopher Columbus sailed in 1492, financed through Spain, began a period of trade—wiping out and forever changing the economic foundation of cultures found in America. The Atlantic Slave Trade (16th – 19th centuries) What devastating human costs did the Atlantic Slave Trade impose on global economies? Trade during the age of exploration was driven by the need for a labor force on plantations in Europe; the transatlantic slave trade saw an estimated 12 million Africans transported against their will, irreparably damaging African societies and boosting the wealth of colonial economies through slave labor. Mercantilism and Colonial Economies In What Ways Did European Empires Exploit Their Colonies for Profits? Godfrey (2008) argues that at the heart of mercantilist policies, European countries drew resources from colonies, limiting native economic independence and development — fostering dependence. Colonies supplied Europe with raw materials and served as outlets for European manufactured goods, a system that made empires wealthy while impoverishing local economies. The Connection Between Industrial Growth and Global Markets 18th – 19th centuries The impact of the Industrial Revolution on trade was a significant milestone in International trade. How did the Industrial Revolution lead to a global demand for resources and markets? Industrial countries, meanwhile, turned to raw materials and new markets to take up the slack of expanding mass production. With the invention of the steam engine, transportation and shipping were again streamlined, as goods could reach faraway markets quickly and effectively. British Empire and Free Trade Ideals Why did the British Empire advocate free trade? Britain turned to free trade philosophies characterized, among other things, by the decisive repeal of the Corn Laws in 1846. This enabled the import of low-cost goods, aided in the growth of industries, and positioned Britain perfectly for domination over global trade routes. These were the deep-rooted causes of the British Empire’s free trade policies.  Why Fair Trade Matters in a Globalized World Post-War Trade Organizations What is the post-World War II framework for international trade? Countries created organizations such as the General Agreement on Tariffs and Trade, or GATT, in 1947 as Post-war trade organizations, which became the World Trade Organization, or WTO, in 1995 to reconstruct and stabilize a global economy. These organizations aimed to reduce trade barriers and encourage a more equitable, free international trading system. Emergence of MNCs What made multinationals the main characters in global trade? MNCs’ role in trade grew to serve the world market by lowering costs and accessing different markets. International trade enabled brands such as Coca-Cola and McDonald’s to conquer the world, with products made available globally, resulting in our once-diverse economies falling into each other’s orbits. Free trade agreements and economic Blocs How do free trade agreements and economic blocs change the face of international commerce? Trade agreements like NAFTA (USMCA now) and the EU lower tariffs and trade barriers so that goods and services can be exchanged more

The financial world acted quickly on November 6, 2024, the day Donald Trump won the 2024 US presidential election, from price swings in global financial markets to headlines from national and international forums comparing the possible economic fallout of Trump returning to the White House Office. Investors are being buffeted by a storm of Trumpophobia from three fronts: deregulation, trade protection, and fiscal expansion. Below is a summary of some key insights from across the top publications: Major Shifts in International Finance: Key News On November 6, 2024 The New York Times The article “Stocks Set Records and Dollar Soars After Trump Election Win” by Joe Rennison, Eshe Nelson, Daisuke Wakabayashi, and Danielle Kaye describes the stage for a stock market boom following Trump’s 2024 election impact on finance. It provides vital financial insights into the global markets.  Investors chased US stock indexes to all-time highs, betting on government (Trump) spending, deregulation, and growth. The gains were substantial, particularly for the S&P 500, Nasdaq, Dow, and Russell 2000. The American dollar appreciated worldwide, most prominently against the Euro and Japanese Yen. That was based on the expectation of hefty tariffs, Trump and inflationary pressure, and the other key economic policies Trump espoused. Bitcoin also rallied, setting an all-time high price. This included what was termed a “pro-crypto policy Trump 2024” platform from Trump, which promised to undo all the work by the Biden administration to deploy an anti-crypto regulatory agenda and promote the US role as a world leader in crypto. US Treasury yields for Trump 2024 climbed higher over the past ten years, indicating investor indifference to Trump and inflationary pressure but fear of higher rates. Trump’s fiscal expansion fueled this fear and Trump’s economic agenda in 2024.  European markets briefly went up, then finished only a little lower, reflecting anxiety on the higher costs of higher tariffs, especially for German exports. Japanese stocks were among the Asian markets that gained, even as markets in China and Hong Kong have shown some negative responses to the possibility of Trump-style protectionism stoking trade tensions. Reuters The Reuters article “What does a Trump victory in 2024 elections mean for global markets? “states the implications for global financial markets from Trump’s expected trade policies (November 6, 2024). Key points include: Trump’s trade policies, which seem likely to lead to heavy tariffs on Chinese imports, are probably going to make the dollar stronger since yuan depreciation or inflation in China will be the likely adaptation, and probably also because US growth will be boosted by the aggressiveness of such trade policies in the longer run. Although tariffs and tax cuts would likely slow growth abroad, a strong dollar would likely put downward pressure on the euro and yuan. This bodes well for a relatively more robust Swiss franc, as the Swiss franc usually holds up well during inflationary times. Meanwhile, lower corporate taxes and deregulation of the oil, defence, and banking industries have also prompted optimism that US stocks will perform well under Trump. Goldman Sachs estimates a 4% boost to S&P 500 earnings if the corporate rate is cut to 15%. Trump may bring volatility through his protectionist stance, particularly with China and Europe, which could damage internationally exposed sectors like tech and autos. European companies may report lower earnings, and sectors such as semiconductors and clean energy could be more volatile due to tariff worries. Trump’s fiscal policies worry investors because they would boost US government debt. “The spending plans, including $5 trillion in tax cuts, would add $7.5 trillion to deficits over 10 years,” says the Union Bank of Switzerland (UBS) team. That has pushed Treasury yields up on the way as the Fed has little room to cut rates further, given that inflation is starting to heat back up again. This will put pressure on global bond markets and may affect global borrowing costs with higher yields. Emerging markets could be especially vulnerable to a Trump presidency. Due to tariffs, export opportunities will lower, and a strong dollar will bear down on currencies like the Mexican peso. Other emerging markets with strong domestic growth, like India, could appeal to investors as safer bets. Trump may reverse environmental regulations, especially those linked to the Inflation Reduction Act, which benefits fossil fuel sectors. On the flip side, his pledge to scrap unspent green funds could stifle demand for clean energy and sustainable funds, which could be less appealing to investors during his presidency. Foreign Policy Below are the highlights of the article written by Keith Johnson at Foreign Policy, “U.S. Stocks and Dollar Lifted by Trump Performance,” November 6, 2024: Trump’s victory sent US stocks and the dollar soaring on expectations of deregulatory, pro-business policies. Expected tax cuts and deregulation would immediately benefit US companies. US indices futures saw gains during pre-market hours, suggesting optimism for the energy, finance, and manufacturing sectors, which appear poised to benefit from a Trump-led economic agenda. The Nikkei index in Japan gained more than 2%, but in China, the Shanghai Composite fell back amid signs that renewed trade conflicts with the US could be on the table. The dollar’s strengthening created downward pressure on multiple foreign currencies. In response, the renminbi ( aka Chinese yuan (CNY)) and other nations susceptible to US trade designs were lower. Johnson says a stronger dollar could pose challenges for developing nations with large amounts of dollar-denominated debt or economic dependence on the US. This financial burden may cause fluctuations in such economies. While any growth-based increase in funded investments may raise US-focused investments, it will likely add to global market unrest that holds in all territories affected by expanding US policy initiatives such as tariffs and sanctions. The Washington Post The article “What Trump’s Win Means for the World’s Most Pressing Problems” appeared in ‘The Washington Post,” authored by Annabelle Timsit, Adela Suliman, and Kelsey Ables, and was published on November 6, 2024. This in-depth analysis discusses the potential global impacts of Donald Trump’s second presidential term, focusing

For the first time, at COP28, held in Dubai, UAE, from 30 November to 12 December 2023, all countries accepted the necessity of phasing out fossil fuels and phasing in renewable energy.  Subsequent agreements, such as Kyoto, will be implemented in the context of a resilience commitment to urban climate action and food systems as part of climate action. With the focus moving from the negotiations in Dubai to its highly desired outcome, the implementation of how these worthy targets will be achieved at the national level is apparent.  Nations need to ensure that the finances required to fulfill promises are available and that implementing them is helpful; that is a vital perspective because these commitments should be viewed as a minimum standard, not a high barrier to defeating climate change, especially for today’s and future generations facing the most consequences. Countries must follow up with those commitments and turn them into action by” increasing investment in agriculture, agroecology, renewable energy projects, and so on.  These steps will enable a more effective realization of the UAE consensus, and countries need to embed these commitments into the forthcoming round of Nationally Determined Contributions (NDCs); the goals of the Paris Agreement and its long-term objectives are centered Laws around the submissions of the states in their NDCs. The Kyoto Protocol Vs Paris Agreement: What You Need to Know The Earth Summit in Rio in 1992 marked the beginning of change since it set the stage for the formulation of the UNFCCC and the agreement on subsequent agreements, such as the Kyoto Protocol. The Kyoto Protocol is an international treaty named after the Japanese city.  It was adopted in December 1997 and designed to curb the emission of greenhouse gases.  The states that ratified the Protocol agreed to reduce by 5.2 % the emission of six greenhouse gases from 41 countries plus the European Union by the “commitment period” 2008-12.  Despite heated controversies about its effectiveness, it was considered the most phenomenal environmental agreement ever reached. The Paris Agreement, held among the world’s nations, primarily aims to air international cooperation in reducing the greenhouse gases that lead to climate change.  The treaty was more focused on lowering greenhouse emissions than improving the greenhouse emissions reduction measures in the Climate Change Policy known as the Kyoto Protocol. It took effect on November 4th, 2016; 195 states signed the agreement, while 190 states ratified it in January 2021. From 30th November to 11th December 2015, France organized representatives from 196 countries to participate in the UN climate change conference, described as one of the most significant and arguably most ambitious international climate meetings ever held.  The goal was nothing short of achieving a legal convention, which aimed to reduce emissions of the gases that would raise the global mean temperature more than two °C (3.6ª F) above what the world was one hundred years before the Industrial Revolution. What’s New in UNFCCC’s Plans for a Greener Future? Understanding The Term Sustainability: UNFCCC defines sustainability as an amalgam of environmental protection, social equity, and economic development that guarantees a future for all. Bridging Climate Action and Development: The new method advocates for more-making high policies, which combine climate change operations and development programs addressing climate and development. Emphasis on Resilience: Ensuring the integrity of integration, protecting public health and safety: Another central tenet in UNFCCC’s sustainability framework is strengthening community resilience-survival options without unduly sacrificing contributions to withstand extreme climate change via principal economies. Encouragement of Renewable Energy Sources: In the interest of sustainable development, the UNFCCC actively promotes shifting energy sources to more sustainable forms to reduce fossil fuel sources. Principles of Circular Economy: The new strategy supports adopting a new policy in the circular economy, whereby activities that cause pollution are avoided through the reuse and recycling of products. Involvement of Stakeholders: Coordinating the climate protection aspects, the UNFCCC intends to involve all necessary stakeholders, such as the state, businesses, and civil society, in the sustainability of change, as no one can act alone. Financial Support for Sustainable Practices of Countries, Regional Organizations, and Other Institutions: The new strategy also introduces a coherent mechanism of seeking help and offering incentives to countries for leading victories against doping while engaging in other sustainable practices. Innovation Technology: Stressing the importance of technology, the United Nations Framework Convention on Climate Change (UNFCCC) supports developing and disseminating climate-friendly technologies and practices that seek to reduce greenhouse gas emissions and strengthen adaptive capacity. Education and Awareness: The initiatives carried out by the UNFCCC also include raising awareness and providing action concerning sustainability and climate change, as well as encouraging oneself and the sty to act in a more climate-friendlyasuring Progress: The UNFCCC further identifies the necessity for sustainable development strategies targeting different goals for different time horizons, including monitoring and reporting budgetary expenditures against planned expenditures. Long-term Vision: Its much-vaunted strategy outlines modest internal wins that promise long-term viability. But to meet those long-term objectives, today’s action must reinforce, not contradict, the larger aims of sustainability across generations. Recap, At COP28 in Dubai, all nations taking part agreed for the first time on ending fossil fuel and making a transition into renewable energy.  That consensus marks a historic breakthrough for global climate efforts, putting countries on the same page concerning what needs they have pledged.  These achievements must then be operationalized nationally, supported financially, and feasible.  States are encouraged to set these pledges before, Nationally Determined Contributions (NDCs), which form the cornerstone of The Paris Agreement keeping global temperature rise below 2 °C above pre-industrial levels. The UNFCCC takes another twist on CO2 and proposes that global climate action should be broader than mitigation and sustainable development.  This involves building resilience, in particular for the most climate-vulnerable communities.  Directly connecting to the broader socio-economic context, focusing on urban climate action and sustainable food systems.  This strategy addresses our global goals for reducing carbon emissions and ensures environmental and human needs will be met. At the heart of this

With the changing world dynamics and polarization of power, all nations and demographics are keeping an eye on the outcomes of the forthcoming US election. Americans are more prone to antiwar sentiments, peace, and economic development.                   All Social media platforms are probing questions regarding the 2024 US presidential election and striving to predict the new congress for the US Capitol. This blog will strive to unfold all key economic and political indicators impacting the global landscape after the 2024 US presidential election.   Here are some FAQs; Who will be the winner in the 2024 presidential election in the USA? So far, the neck-to-neck competition between Republicans and Democrats seems unprecedented. However, the Former President of the USA, Donald Trump, looks hopeful of winning back the white house for the 2nd time.On August 15, 2024, CNN Politics reported his latest speech about veering off the economic agenda by seating US Vice President and Democratic Party’s presidential nominee “Kamala Devi Harris.” However, Trump’s political stability and economic growth agenda reiterates his policies during his last tenure. How will the 2024 presidential election in the USA set new directions for global economic markets? Well, as the presidential election is stepping into the final run-up, on November 5, 2024, election polls will revamp the future outlook of the USA and the international arena. Both presidential candidates have been successfully running their election campaigns to bring fruitful repercussions. Likewise, the next snooping question can be; Will Trump’s 2024 election campaign support the new economic corridors for Americans? Tech and Corporate giants are optimistic about new economic corridors promised by the Republican Party. This blog will shed light on Trump’s latest update on economic reforms in the 2024 election as; Trump’s agile trade policy The Republican 2024 election campaign reinforces the continuation of Donald Trump’s previous aggressive trade policy.  It looks lucrative to US entrepreneurs and investors with an anticipated 10% tariff on foreign goods. Statista reported that the US had become the second largest merchandise exporting region, with $2009 billion from 2016 to 2019 under the Umbrella of his government. However, there was a 2% tariff causing significantly decreased exports in 2021 during the Joe Biden Democrats’ government.Secondly, preventing US investment in Chinese corporations will contribute positively to the US economy.  Meanwhile, in his last presidential tenure, there was marginal US annual expenditure of FDI  in countries like China, Israel, and Mexico.  His promises to retain all previous economic initiatives are the keys to opening the locks of the White House. Corporate Tax Cuts Further, during his last presidency, the Tax Cuts and Jobs Act (TCJA) curtailed corporate tax from 31% to 21%. As a result, in 2020, the number of venture capitalists doubled compared to the late 1990s dot-com bubble economy. His policy of increasing tax revenue by flourishing the corporate sector can be the leading contributor to his presidential campaign. AI Research and Development Tech giants have encouraged Trump’s initiative to repeal Biden’s 2023 executive order on AI limitations in technology development. Moreover, the Continuation of the National AI Initiative Act stimulates AI research and development in non-defense sectors of the economy. Further, his policy on renewable energies strengthens the new race of AI arms across the globe. Is the Power Fight in the Democratic Party a blessing for Trump? The presidential election USA 2024 campaigns and polls have highlighted that the best-loved voters in the election are lefties or Democrats. On February 2, 2024, CNN Politics reported that three-quarters of US voters believe in the Democratic Party’s best shot for the next US election.Despite Kamala Devi Harris’s popularity in the 2024 US election, the Republican has a slight competitive advantage over her. Aljazeera reported that Joe Biden’s trial presence in the International Court of Justice (ICJ) and International Criminal Court (ICC) might harm Harris’s reputation. She will have to face the toughest competition. Further, she has not provided much information about her policy regarding Muslim communities, minorities, and abortion laws. What Happens to the US Economy If Trump Condemns Israel’s territorial terrorism? Republican “No war” appeal worldwide will have a cutthroat edge over Harris’ election campaigns. This “one-strategy- fits- for -all” sounds relaxing to nearly 5 million US Muslims. Further, US financial assistance to Israel goes against Harris’ economic agenda and support from the Muslim community. Therefore, his strong acceptance among American Muslims will lead to his success.Additionally, ten central and southern states of America are immensely influenced by Republicans for their stance against same-sex marriage, abortion, and genocide in Gaza. Israel’s atrocities have impacted the Democrats’ likelihood of being selected again. How Kamala Harris’s Economic Policy Affect the Trump’s 2nd Time Presidency Chances? Critics argue that Trump’s economic agenda represents only the affluent class to a greater extent; commoners or underprivileged citizens discourage Trump’s selection for the second time for the following reasons.⦁ The Democratic Party’s executive actions on Affordable Care Act subsidies are the hot-selling cakes. Critics believe her proposals regarding “massive government socialist policies” will add value to her campaign. Her privileges in the healthcare sector can be beneficial to her election campaign⦁ Harris’s executive action of federal ban on⦁ ⦁ price gouging in the USA is like a sequel to the Joe Biden Democratic government. However, the price ceiling can still appeal to all citizens of the USA. The Guardian reported on April 20, 2024, that the legal proceedings against the mergers between the two big retailers, Albertsons with Groger OR Jet Blue and Spirit Airlines and speculated jack-up prices of Amazon are the semi-ban on price gouging in 2023.⦁ Additionally, her proposed economic policy of increasing corporate taxation by 9% will possibly benefit all social classes. The tax breaks for house builders also serve as fresh air for the real estate sector. Hence, they can add value to the Democrats’ 2024 election campaign. Her economic policy proposes that a $25,000 down payment will be given to first-time buyers of 3 million housing units. Tax cuts of $1250 for