The World Trade Organization is the only international organization that handles the global regulations of trade between all nations. Its main purpose is to make sure that all trade has a smooth transition as freely as allowed by law.
This gives piece of mind to all the consumers and producers around the world. This organization provides a safe and secure gateway for all its members’ and their markets. The rules and decisions made by the WTO are upheld throughout the WTO members’ countries. If a dispute should arise then the WTO will carefully weigh the agreements and commitments to ensure the trade ...view middle of the document...
This contract gives the member certain trade rights that are recognized by all other member countries. The ultimate reason this is done is to guarantee all governments the same trade rights to all produces of goods and services, exports, and importers. The ultimate goal is to improve the welfare of people in the countries of WTO members.
There are several trade topics available to read about on the WTO website. The one that stands out to me is the goods section. This section covers anything to do with goods, such as anti-dumping, agriculture, tariffs, and technical barriers. The most important thing that I have learned from this website was what the WTO is and what it does.
DEFINE absolute and comparative advantage.
Absolute advantage- In economics, the principle of absolute advantage is the ability of a party (an individual, or firm, or country) to produce more of a good or service than any competitors, using the same amount of resources.
Comparative advantage- In economics, the law of comparative advantage is the ability of a party (an individual, a firm, or a country) to produce a particular good or service at a lower opportunity cost than any another competitor. It is the ability to produce a product with the simplest given all the other products that could be produced. It can be contrasted with absolute advantage which refers to the ability of a party to produce a particular good at a lower absolute cost than another.