Class: International Business
Teacher: B. Henry
Session No. 5
Name and describe three compelling economic benefits of
global economic integration
Global economic integration has different benefits for countries, which are involved in it, that is the reason for the existence of different trades and agreements as WTO, GATT, MERCOSUR and NAFTA among others which have facilitated international business in terms of communication, economic growth, standardization of policies tariffs and the most important fact which has been that countries involved in economic integration are becoming global and also have been benefited economically in three different aspects:
The first economic benefit from global economic integration is the progress or evolution in trades between countries focused on find an easier way to do agreements, it includes the exit and entrance of a variety of services and goods both with lower costs, due to the reduction or the removal of the trade barriers depending on the country and the agreement signed, or also because of being part of an organization as WTO, in that way more money can be saved and more resources interchanged but also, the possible existent disputes among some countries can be easily handled in an objective and polite way thanks to organizations charged to do it.
On the other hand, countries involved in an economic integration have a benefit, which generates positive effects on society and affects directly the GDP; it is the increasing of Foreign Direct Investments by the internationalization of local enterprises, and the possibility to grow the in-flows and also external-flows from a country, it provide also an opportunity for emerging countries to take part and grow, which means that global economic integration is not discriminatory with countries that wants to take part of it, but as a positive result for those emerging countries, learning from the technological Know- How, and also the...