GLOBAL TRENDS
INDEX
SR.NO
TOPIC NAME
PAGE NO.
1
Executive Summary
6
2
Introduction To Recent Trends In Global Trade
8
3
Expansion in Global Trade
9
4
Trends During The Financial Crisis & The Post Crisis
10
5
Merchandise Trade
11-12
6
Trade Between High, Low And Middle Income Economies
13
7
Rising Importance Of Developing Countries
14
8
Trade In Services
14-15
9
Terms Of Trade of Developing & Transition Economies
16
10
Trends In Trade Balances
17
11
Changing Patterns Of Global Trade
18-23
12
Conclusion
24
13
Bibliography
25
EXECUTIVE SUMMARY
The past few decades have seen important shifts that have reshaped the global trade landscape. As a share of global output, trade is now at almost three times the level in the early 1950s, in large part driven by the integration of rapidly growing emerging market economies (EMEs). The expansion in trade is mostly accounted for by growth in non commodity exports, especially of high-technology products such as computers and electronics.
It is also characterized by growing regional concentration and an ongoing shift of technology content toward EMEs. These developments in global trade have important implications for trade patterns, in particular in response to relative price changes. The expansion of global and regional trade was driven by trade liberalization and subsequently by vertical specialization and income convergence. Multilateral and bilateral liberalization since early 1950s has led to significantly lower trade barriers in advanced economies followed more recently by developing countries. Along with lower trade barriers, technology-led declines in transportation and communication costs also facilitated the fragmentation of production stages beyond national borders, allowing supply chains to become regional or even global.
The growing role of global supply chains is associated with increased trade interconnectedness. Network-based analysis illustrates several trends taking place
SR.NO
TOPIC NAME
PAGE NO.
1
Executive Summary
6
2
Introduction To Recent Trends In Global Trade
8
3
Expansion in Global Trade
9
4
Trends During The Financial Crisis & The Post Crisis
10
5
Merchandise Trade
11-12
6
Trade Between High, Low And Middle Income Economies
13
7
Rising Importance Of Developing Countries
14
8
Trade In Services
14-15
9
Terms Of Trade of Developing & Transition Economies
16
10
Trends In Trade Balances
17
11
Changing Patterns Of Global Trade
18-23
12
Conclusion
24
13
Bibliography
25
EXECUTIVE SUMMARY
The past few decades have seen important shifts that have reshaped the global trade landscape. As a share of global output, trade is now at almost three times the level in the early 1950s, in large part driven by the integration of rapidly growing emerging market economies (EMEs). The expansion in trade is mostly accounted for by growth in non commodity exports, especially of high-technology products such as computers and electronics.
It is also characterized by growing regional concentration and an ongoing shift of technology content toward EMEs. These developments in global trade have important implications for trade patterns, in particular in response to relative price changes. The expansion of global and regional trade was driven by trade liberalization and subsequently by vertical specialization and income convergence. Multilateral and bilateral liberalization since early 1950s has led to significantly lower trade barriers in advanced economies followed more recently by developing countries. Along with lower trade barriers, technology-led declines in transportation and communication costs also facilitated the fragmentation of production stages beyond national borders, allowing supply chains to become regional or even global.
The growing role of global supply chains is associated with increased trade interconnectedness. Network-based analysis illustrates several trends taking place