Macroeconomic Final Draft Essay

387 Words2 Pages
According to economywatch.com, global economy is characterized as a world economy with a unified market for all goods produces across the world. It gives domestic producers an opportunity to expand and raise capacity according to global demands. Likewise, it also provides an opportunity to domestic consumer to choose from a vast array imported goods or trade with other person from another country. Trade is something that refers to buying and selling of goods and services for money that involves multiple parties. Trade can be divided into two types. Internal or home trade and external or foreign trade. Internal trade is conducted within the political and geographical boundaries of a country, while external trade refers to buying and selling between two or more countries. If two people are trading something, they must be aiming for gains, so they have to find someone who specialized in what they want. Everything has it’s own policy including trade. Trade policy is a government policy that directly influences the quantity of goods and services that a country imports and exports. A policy in international markets in which governments do not restrict imports of exports is called free trade. The question arising whether free trade will give most people benefit or not. The first thing that is affected by free trade is the unemployment rate. Free trade market, allows agencies to open up branches or offices in another country. It increases many new jobs opportunity for the unemployed people. Unemployment sometimes also happened due to the matching workers and jobs. If all workers and all jobs are always suited each other, then finding job would not be a big problem. On the other hand, workers differ in their skills and tastes and so the employer. Job vacancies are also one of the problems of unemployment. If there are no job vacancies then the jobless people will remain

More about Macroeconomic Final Draft Essay

Open Document