Preview

Regional Integration for and Against Articles

Good Essays
Open Document
Open Document
772 Words
Grammar
Grammar
Plagiarism
Plagiarism
Writing
Writing
Score
Score
Regional Integration for and Against Articles
In Favor of Regional Integration Integrating regions into a trading bloc can have some positive and influential aspects for the countries within that trading bloc. Free trade within these nations can helps secure stability within the economies, generate more product at a cheaper rate then without the integration, and assist with creating peace between the nations with peaceful conflict resolutions. The Association of the Southeast Asian Nations has created such a trading block between 10 nations over three decades ago which has been helping to build and sustain the economy of these nations in Southeast Asia. The regional integration of the Association of Southeast Asian Nations (ASEAN) includes Indonesia, Malaysia, Philippines, Singapore, Thailand, Brunei Darussalam, Vietnam, Lao PDR, Myanmar, and Cambodia. Advantages that are seen by this regional integration is to help these nations accelerate in the cultural development, economic growth, and social progress by being able to trade goods or services freely between one another. Another advantage is the existence of peace it brings between the nations. Since the development of the ASEAN trading bloc there have been no conflicts between the nations and they have pledged to peacefully resolve all settlements and disputes, this ensures that the regions live in a peaceful and harmonious environment. Further advantages include sharing common goals, objectives, and visions with one another. Free trade between the nations allows each to develop more goods or services that they can produce more efficiently allowing for reduced consumer costs between the nations of the trading bloc. By being able to produce in a more efficient manor also has a result of a greater world production which would not be possible with trade restrictions due to tariffs and such. Economic growth can also be attributed to trading blocs. With nations being able to transfer knowledge from different sectors and the know-how also increases


References: Hill, Charles W. L. (2007). International Business: Competing in the Global Marketplace (7th ed.). New York: McGraw-Hill/Irwin. Retrieved on 18 Dec 2008, from https://ecampus.phoenix.edu/content/eBookLibrary/content/eReader.html South Asian Association for Regional Cooperation (n.d.). South Asian Association for Regional Cooperation. Retrieved December 19, 2008, from http://www.saarc-sec.org/?t=1
Continue Reading
View Writing Issues

You May Also Find These Documents Helpful

  • Powerful Essays

    Confidentiality and the Case Worker: Technological Advancements Affecting the Economy
    • 1387 Words
    • 6 Pages

    Confidentiality and the Case Worker: Technological Advancements Affecting the Economy

    One of the foremost factors that drive the global economy is that of trade blocs. These are formed when nations join together to form a free trade area, which means that the countries are allowing trade without tax or tariff between each other, something that can propel the economy of a country by allowing it to trade in areas that it had previously been unable to without penalty. This is particularly helpful to landlocked countries that depend on the coastal countries to be able to export worldwide. Without an agreement, these countries would be essentially cutoff from the rest of the world making their economy suffer greatly!…

    • 1387 Words
    • 6 Pages
    Powerful Essays
    Read More
  • Good Essays

    Mgt 448 Week 2 Paper
    • 679 Words
    • 3 Pages

    Mgt 448 Week 2 Paper

    The advantage of integration regionally is that there are no imposed restrictions on the trade. This will allow countries to focus on the services and produced goods in a more efficient manner to drive down cost, which will boost the economy. The free trade without restrictions allows lowering of prices of goods which increases output of goods that are in demand by other countries which will create jobs increased goods lower operating cost. Also with compiling resources with the neighboring country will allow expansion in an economic outlook, and also persuay political views from major corporations as everyone follows the trend to reduce…

    • 679 Words
    • 3 Pages
    Good Essays
    Read More
  • Powerful Essays

    Regional Integration Ireland and the European Union
    • 1165 Words
    • 5 Pages

    Regional Integration Ireland and the European Union

    First let us look at (regional economic integration). The (REI) “Agreements among countries in a geographic region are to reduce and ultimately remove tariff and nontariff barriers to the free flow of goods, services, and factors of production between each other”(allvoslog 2009)…

    • 1165 Words
    • 5 Pages
    Powerful Essays
    Read More
  • Powerful Essays

    Case Study
    • 2618 Words
    • 11 Pages

    Case Study

    Free trade is the only type of truly fair trade because it offers consumers the most choices and the best opportunities to improve their standard of living. It fosters competition, spurring companies to innovate and develop better products and to bring more of their goods and services to market, keeping prices low and quality high in order to retain or increase their market share.…

    • 2618 Words
    • 11 Pages
    Powerful Essays
    Read More
  • Powerful Essays

    Global Trends
    • 1306 Words
    • 6 Pages

    Global Trends

    Regional economic integration has been one of the most evident trends in the global economy. Sovereign states have created supranational organizations such as the WTO and the EU that are international unions in which member states transcend national boundaries. Businesses want to globalize in order to expand their markets and increase profits. Free trade agreements open doors to such opportunities and help promote economic integration. Other such important integrations that have taken place in other parts of the world are NAFTA, APEC, ASEAN, MERCOSUR, etc.…

    • 1306 Words
    • 6 Pages
    Powerful Essays
    Read More
  • Good Essays

    Free Trade In Australia
    • 1082 Words
    • 5 Pages

    Free Trade In Australia

    Many countries in the world are apart of free trade areas that have free trade agreements with other countries. What a free trade area? According to the World Book definition, a free trade area is, “an area in a country where goods can be imported without paying custom duties (import taxes). Foreign traders may store, exhibit, assemble, or process products in these zones before shipping them elsewhere for sale or use” (“World Book” 500). These free trade areas can differ from an entire city or territory where no customs duties are collected. Free trade areas are created to encourage the act of foreign trade by allowing countries to trade their goods in a more cheaply way than making the good in their home nation. Free trade can have positive…

    • 1082 Words
    • 5 Pages
    Good Essays
    Read More
  • Satisfactory Essays

    Free Trade Agreement Advantages and Disadvantages in U.S. Perspective Essay Example
    • 328 Words
    • 2 Pages

    Free Trade Agreement Advantages and Disadvantages in U.S. Perspective Essay Example

    One of it's advantages is the reducing of prices of foreign goods and services; making products that we are unable to manufacture here, or that are too expensive to manufacture here, available at reasonable prices. On the other hand free trade also reduces the prices of American goods and services; though beneficial to other countries, this affects our economy, evening out our prices with foreign prices.…

    • 328 Words
    • 2 Pages
    Satisfactory Essays
    Read More
  • Powerful Essays

    Critical Thinking Chapter 8
    • 1201 Words
    • 5 Pages

    Critical Thinking Chapter 8

    Unrestricted free trade allows countries to specialize in the production of goods and services that they can produce most efficiently. If this happens as the result of economic integration within a geographic region, the net effect is greater prosperity for the nations of the region. From a more philosophical perspective, regional economic integration can be seen as an attempt to achieve additional gains from the free flow of trade and investment between countries beyond those attainable under international agreements such as the World Trade Organization. The political case for integration is also compelling. Linking neighboring economies and making them increasingly dependent on each other creates incentives for political cooperation between neighboring states. The potential for violent conflict between the states is also reduced. In addition, by grouping their economies together, the countries can enhance their political weight in the world. Despite the strong economic and political arguments for integration, it has never been easy to achieve on a meaningful level. There are two main reasons for this. First, although economic integration benefits the majority, it has its costs. While a set of nations as a whole may benefit significantly from a regional free trade agreement, certain groups may lose. The second impediment to integration arises from concerns over national sovereignty.…

    • 1201 Words
    • 5 Pages
    Powerful Essays
    Read More
  • Satisfactory Essays

    Should China Participate in More Free Trade Agreements?
    • 555 Words
    • 3 Pages

    Should China Participate in More Free Trade Agreements?

    1. Free trade allows unrestricted circulation of goods of various countries and regions, such available on the market an array of consumer goods, and free trade is a zero tariff, turns out to be inexpensive and allow consumers to income. Such as Hong Kong, China, is a free trade port, known as the shopping paradise is for this reason.…

    • 555 Words
    • 3 Pages
    Satisfactory Essays
    Read More
  • Satisfactory Essays

    Benefits and Drawbacks of RTA
    • 2069 Words
    • 9 Pages

    Benefits and Drawbacks of RTA

    Regional initiatives have a number of advantages which explain why so many countries are members of such agreements:…

    • 2069 Words
    • 9 Pages
    Satisfactory Essays
    Read More
  • Powerful Essays

    MB0053 International Business Management
    • 601 Words
    • 3 Pages

    MB0053 International Business Management

    Answer. Regional economic integration has enabled countries to focus on issues that are relevant to their stage of development as well as encourage trade between neighbors.…

    • 601 Words
    • 3 Pages
    Powerful Essays
    Read More
  • Powerful Essays

    Trade Blocs
    • 3840 Words
    • 16 Pages

    Trade Blocs

    Trade blocs 1.Definition and examples A trade bloc can be defined as a ‘preferential trade agreement’ (PTA) between a subset of countries, designed to significantly reduce or remove trade barriers within member countries. When a trade bloc comprises neighbouring or geographically close countries, it is referred to as a ‘regional trade (or integration) agreement’. It is sometimes also referred to as a ‘natural’ trade bloc to underline that the preferential trade is between countries that have presumably low transport costs or trade intensively with one another. The two principal characteristics of a trade bloc are that: (1) it implies a reduction or elimination of barriers to trade, and (2) this trade liberalisation is discriminatory, in the sense that it applies only to the member countries of the trade bloc, outside countries being discriminated against in their trade relations with trade bloc members. Though few, there exist as well regionial integration agreements in which co-operation rather than preferential market access is emphasised. Trade blocs can also entail deeper forms of integration, for instance of international competition, investment, labour and capital markets (including movements of factors of production), monetary policy, etc. The integration of countries into trade blocs is commonly referred to as ‘regionalism’, irrespective of whether the trade bloc has a geographical basis or not. The first waves of PTAs appeared in the 1930s leading to a fragmentation of the world into trade blocs. This ‘old (first) regionalism’ is also associated with regional initiatives involving developing countries in the 1950s and 1960s.1 Based on the objective of import-substitution industrialisation, the rationale was that developing countries could reap the benefit from economies of scale by opening up their trade…

    • 3840 Words
    • 16 Pages
    Powerful Essays
    Read More
  • Satisfactory Essays

    Benefit of Blocs
    • 274 Words
    • 2 Pages

    Benefit of Blocs

    In general, the benefits of establishing trading blocs are to remove trade and investment barriers within trade blocs. It will also increase interdependency of neighboring countries on one another; encouraging trade within two countries or more.…

    • 274 Words
    • 2 Pages
    Satisfactory Essays
    Read More
  • Good Essays

    Influence of International Organisations and Contemporary Trading Blocs and Agreements in Promoting Globalisation Essay Example
    • 1181 Words
    • 5 Pages

    Influence of International Organisations and Contemporary Trading Blocs and Agreements in Promoting Globalisation Essay Example

    Trading bloc occurs when a number of countries join together in a formal preferential trading agreement to the exclusion of other countries, such as the EU and NAFTA. As global trade has grown and as more economies form trading blocs – countries in recent years have moved to form agreements and trading alliances to ensure that they are in the best position to gain from growing trade opportunities and also to avoid being excluded from the emerging trading blocs. The promotion of the advantages of joining emerging trading blocs would place countries excluded from trading blocs and agreements at a disadvantage.…

    • 1181 Words
    • 5 Pages
    Good Essays
    Read More
  • Satisfactory Essays

    Economic Protection Essay
    • 680 Words
    • 3 Pages

    Economic Protection Essay

    The advantages of free trade often outweigh the disadvantages for strong, wealthy economies as their buying & selling power abuses smaller economies. This has been overcome by the introduction of multilateral agreement between nations after WWII, giving smaller economies the ability to come together & increase their negotiation power. Therefore the advantages of free trade can vary from nation to nation. Due to the increase of output in the economy there is a resulting increase of income and therefore consumption, this will also stimulate individuals to save and later invest in property or other assets. Ultimately there is an increase in the standard of living. Another advantage to free trade is the accessibility to goods previously unobtainable from lone nations- this is extremely efficient and encourages specialization of products. Free trade allows all resources to be used effectively & efficiently through nations using comparative & absolute advantages.…

    • 680 Words
    • 3 Pages
    Satisfactory Essays
    Read More

Related Topics