But still problems with agriculture always a problem

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But still problems with agriculture Always a problem - governments focus on in and provide subsidies - the end consumer ends up paying for it It is about job protectionism Also we must eat something so this is important
Sovereignty issue - when a country goes to war it must be able to sustain itself What was critical: WTO does not allow countries to block the decisions once they are made But these are just recommendations - still not that much of enforcing power However, some punishments are there is a country does not comply If countries do to agree with sth WTO does, they can protect themselves with tariffs Banana wars Between N and S American and European suppliers The EU was trying to stimulate its own companies and give them subsidies They blamed each other for unfair competition This went to WTO and now there are both products on both markets Doha round Problem of agricultural subsidies EU - this is more of a regional NAFTA When it came to existence, people were quite against it CAFTA ASEAN Will be probably superseded by APEC or TPP The Great Depression Germany Had to pay war reparations More radical politics became mainstream They had hyperinflation US High unemployment Many people going to cities People could not make money farming Governments went off gold standard after WWI People were trying to colonize again Lead to trade protectionism Roosevelt's policies Extended Great Depression Policies were contradictory Resulted in destruction of trade and wealth
The pros for regional economic integration Two trading partner countries will not go to war with each other Enhances political weight of the whole region The cons of regional economic integration Inherently protectionist - those who are out of the region are discriminated May result in a loss of sovereignty The more integration, the less sovereignty - may be a problem in case of war CHAPTER 8 NOTES Types of economic integration: Regional economic integration Efforts to reduce trade and investment barriers within one region. Global economic integration Efforts to reduce trade and investment barriers around the globe. NAFTA -North American Free Trade Agreement -founded 1994 -designed to make rules more market friendly to facilitate more trade and investment among its three member countries (Mexico, Canada, USA) Global Economic Integration -frameworks of regional and global economic integration -global point of view - General Agreement on Tariffs and Trade (GATT) A multilateral agreement governing the international trade of goods (merchandise). Two new developments after the war were initiated to prevent a repeat of these circumstances: World Trade Organization (WTO) The official title of the multilateral trading system and the organization underpinning this system since 2005.

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