Jessie Poon - International Trade: The Basics

For a full list of titles in this series, please visit www.routledge.com/The-Basics/book-series/B

ANIMAL ETHICS
TONY MILLIGAN

ANTHROPOLOGY OF RELIGION
JAMES S. BIELO

ARCHAEOLOGY (SECOND EDITION)
CLIVE GAMBLE

THE BIBLE AND LITERATURE
NORMAN W. JONES

BRITISH POLITICS
BILL JONES

CAPITALISM
DAVID COATES

CHRISTIAN THEOLOGY
MURRAY RAE

FINANCE (THIRD EDITION)
ERIK BANKS

FORENSIC PSYCHOLOGY
SANDIE TAYLOR

JAPAN
CHRISTOPHER P. HOOD

LANGUAGE (SECOND EDITION)
R.L. TRASK

NARRATIVE
BRONWEN THOMAS

POETRY (THIRD EDITION)
JEFFREY WAINWRIGHT

THE QURAN (SECOND EDITION)
MASSIMO CAMPANINI

SPECIAL EDUCATIONAL NEEDS AND DISABILITY (SECOND EDITION)
JANICE WEARMOUTH

SPORT MANAGEMENT
ROBERT WILSON AND MARK PIEKARZ

Absolute advantage: The country that can produce a commodity most efficiently is said to have an absolute advantage in the production of that commodity. Absolute advantage was the basis for free trade according to Adam Smith.

Absolute advantage: The country that can produce a commodity most efficiently is said to have an absolute advantage in the production of that commodity. Absolute advantage was the basis for free trade according to Adam Smith.

Absorptive capacity: The ability of firms and countries to identify technological opportunities and leverage those opportunities productively.

Absorptive capacity: The ability of firms and countries to identify technological opportunities and leverage those opportunities productively.

AFTA (ASEAN free trade area): A free trade area in Southeast Asia comprising the countries of Brunei Darussalam, Cambodia, Indonesia, Laos, Malaysia, Myanmar, the Philippines, Singapore, Thailand and Vietnam.

AFTA (ASEAN free trade area): A free trade area in Southeast Asia comprising the countries of Brunei Darussalam, Cambodia, Indonesia, Laos, Malaysia, Myanmar, the Philippines, Singapore, Thailand and Vietnam.

APEC: Asia-Pacific Economic Cooperation. An organization consisting of twenty-one countries around the Asia-Pacific ocean whose mission is to enhance trade and economic prosperity in the region.

APEC: Asia-Pacific Economic Cooperation. An organization consisting of twenty-one countries around the Asia-Pacific ocean whose mission is to enhance trade and economic prosperity in the region.

Bilateralism: The political, economic, trading and cultural relationship of two countries.

Bilateralism: The political, economic, trading and cultural relationship of two countries.

Biosecurity: Surveillance and preventive measures to control the spread of biological organisms (e.g. microbes, bacteria, virus) and diseases to plants, agriculture, livestock and also human health.

Biosecurity: Surveillance and preventive measures to control the spread of biological organisms (e.g. microbes, bacteria, virus) and diseases to plants, agriculture, livestock and also human health.

Cap and trade: A market-based system designed to reduce pollution by providing incentives for members to lower greenhouse gas (GHG) emissions. The cap limits total GHG emissions allowed over some period, and members may trade emissions credits with one another.

Cap and trade: A market-based system designed to reduce pollution by providing incentives for members to lower greenhouse gas (GHG) emissions. The cap limits total GHG emissions allowed over some period, and members may trade emissions credits with one another.

Comparative advantage: Comparative advantage exists when the opportunity costs of producing commodities vary between countries. Even if one country has an absolute advantage in producing all commodities compared with a second country, these nations can still benefit from trade if there are differences between the countries in the relative efficiency with which they can produce different commodities. Countries can benefit from free trade if they export commodities in which they have the largest relative efficiency advantage and import commodities in which they have the smallest relative efficiency advantage.

Comparative advantage: Comparative advantage exists when the opportunity costs of producing commodities vary between countries. Even if one country has an absolute advantage in producing all commodities compared with a second country, these nations can still benefit from trade if there are differences between the countries in the relative efficiency with which they can produce different commodities. Countries can benefit from free trade if they export commodities in which they have the largest relative efficiency advantage and import commodities in which they have the smallest relative efficiency advantage.

Constructivism: A theory of institutionalism that views the development of pan-regional institutions as arising from the social interactions of economic agents and the latters learning effects.

Constructivism: A theory of institutionalism that views the development of pan-regional institutions as arising from the social interactions of economic agents and the latters learning effects.

Coreperiphery: Describes the hierarchical structure of the world economy where the concentration of trade benefits, and thereby economic power, lies in industrial centers (core). Developing countries on the periphery, on the other hand, produce food and raw materials for industrial centers. Technical progress at the industrial centers helps their population to sustain itself. But the inability of developing countries to share in the benefits of technical progress at the core keeps them spatially embedded at the periphery.