International Trade: Exports, Imports, etc.
In This Chapter
• Why nations import and export goods
• International trade agreements
• Protectionism and other trade policies
Up to now, we have left exports and imports—the final component of gross domestic product (GDP)—out of our analysis. Now it’s time to bring them in. It’s a potentially complex area, but this chapter will first show why nations export and import goods, and then examine barriers to trade and various steps governments have taken to lower barriers to trade.
Foreign trade isn’t as emotionally loaded as say, taxes and government spending, but, like most topics in economics, it stirs the blood of people whose livelihoods and lifestyles are most affected by exports ...