International Trade, High Technology and

The ease of doing business between countries is usually facilitated by international trade policy. These policies often include bilateral and multilateral arrangements, and dictate the condition of commerce between countries. The content of market regulation plays a major role in determining who becomes rich and who becomes poor from trade. Free trade allows an open market through the removal of border barriers to movement of goods. In this case, the market controls the direction and function of the global economy by promoting comparative advantage. The concept of comparative advantage refers to countries doing what they do best—or most efficiently and profitably—through their distinct mix of resources, expertise, and labor. On the other hand, a country must buy what it cannot efficiently produce from other countries. ...