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Essay / The Political Economy of International Trade - 802
The political economy of international trade focuses on understanding the many causes of economic growth in developing and transition economies, the different roles of international trade in the increase in economic well-being around the world and the many different impacts of the international financial system on the global economy. By examining the different economic systems of the United States and Poland and understanding how these two countries are affected by the political economy in international trade, we will become familiar with how both countries are able to acquire the skills necessary to improve their economic conditions in a context of globalization. global economy. One of the most important goals for both economies is to increase economic development and also to strengthen the international economies of both countries in the international trading system. By closely examining the fundamental aspects of the key point of international trade (increasing market size, insurance motivation, protectionism and increasing bargaining power), we will begin to understand what makes and breaks countries politically and economic in international trade between major countries. and small nations. To begin with, the opening of Polish trade policy in the early 1990s was the most important step for the transformation of the Polish economy. Poland succeeded in making the zloty (meaning gold), the official currency of Poland, a convertible currency on the international currency market, which allowed all national prices to be freed from administrative control. By participating in the international trade political economy, Poland was able to increase the value of its imports to more than seven percent per year. This change was made possible because Poland had unbound customs duties. Poland established a (FT...... middle of paper ......) trade policy cooperator to help each other against diminishing market access in a large market. The insurance motivation for a country like the United States is useful because of the context in which smaller developed countries strengthen free trade with larger developed country partners. In summary, the political economy of Poland and the United States in international trade is a vital resource for both economies without involvement in the international trade market of both countries. would not be able to meet the demand for imports and exports in the global economy. The political economy of international trade promotes the growth of economies and impacts what a country is or is not able to do in the international business environment. , having insurance motivation, protectionism and growing bargaining power will help both economies grow in the years to come..