Theme of the lecture № 7.

International trade of industrial goods. Markets of machines and equipment

Thesis:

In economics, any tangible commodity which is produced and subsequently consumed by the consumer, to satisfy its current wants or needs, is a consumer good or final good. Consumer goods are goods that are ultimately consumed rather than used in the production of another good. For example, a microwave oven or a mixer grinder which is sold to a consumer is a final good or consumer good, where as the components which are sold to be used in to final good those goods are called intermediate goods. For example, tires for automobile industry or copper which can be used to make some further goods.

Manufactured goods are goods that have been processed in any way. As such, they are the opposite of raw materials, but include intermediate goods as well as final goods.

Final goods can be classified in to the following categories:

1. Durable goods

2. Non-durable goods

3. Services

Consumer electronics (abbreviated CE) are electronic equipment intended for everyday use, most often in entertainment, communications and officeproductivity. Radio broadcasting in the early 20th century brought the first major consumer product, the broadcast receiver. Later products includepersonal computers, telephones, MP3 players, audio equipment, televisions, calculators, GPS automotive electronics,digital sphygmomanometers, digital Glucose meters, digital cameras and players and recorders using video media such as DVDs, VCRs or camcorders. Increasingly these products have become based on digital technologies, and have largely merged with the computer industry in what is increasingly referred to as theconsumerization of information technology such as those invented by Apple Inc. and MIT Media Lab.

A motor vehicle or road vehicle is a self-propelled wheeled vehicle that does not operate on rails, such as trains or trolleys. The vehicle propulsion is provided by an engine or motor, usually by an internal combustion engine, or an electric motor, or some combination of the two, such as hybrid electric vehicles and plug-in hybrids. For legal purposes motor vehicles are often identified within a number of vehicle classes including automobiles or cars, buses, motorcycles, motorized bicycles, off highway vehicles, light trucks or light duty trucks, and trucks or lorries. These classifications vary according to the legal codes of each country. 

A machine is a tool that consists of one or more parts, and uses energy to achieve a particular goal. Machines are usually powered by mechanical, chemical, thermal, or electrical means, and are frequently motorized. Historically, a powered tool also required moving parts to classify as a machine; however, the advent of electronics technology has led to the development of powered tools without moving parts that are considered machines.

Literature: 1-36.

Theme of the lecture № 8.

International trade policy and wto activities

Thesis:

International trade is the exchange of capital, goods, and services across international borders or territories. In most countries, such trade represents a significant share of gross domestic product (GDP). While international trade has been present throughout much of history (Silk Road, Amber Road), it’s economic, social, and political importance has been on the rise in recent centuries.

Economic integration is the unification of economic policies between different states through the partial or full abolition of tariff and non-tariff restrictions on trade taking place among them prior to their integration. This is meant in turn to lead to lower prices for distributors and consumers with the goal of increasing the combined economic productivity of the states.

Economic liberalization is a very broad term that usually refers to fewer government regulations and restrictions in the economy in exchange for greater participation of private entities; the doctrine is associated with classical liberalism. The arguments for economic liberalization include greater efficiency and effectiveness that would translate to a "bigger pie" for everybody. Thus, liberalisation in short refers to "the removal of controls", to encourage economic development.

The World Trade Organization (WTO) is an organization that intends to supervise and liberalize international trade. The organization officially commenced on January 1, 1995 under the Marrakech Agreement, replacing the General Agreement on Tariffs and Trade (GATT), which commenced in 1948. The organization deals with regulation of trade between participating countries; it provides a framework for negotiating and formalizing trade agreements, and a dispute resolution process aimed at enforcing participants' adherence to WTO agreements, which are signed by representatives of member governments and ratified by their parliaments. Most of the issues that the WTO focuses on derive from previous trade negotiations, especially from the Uruguay Round (1986–1994).

The WTO has 157 members and 27 observer governments. In addition to states, the European Union is a member. WTO members do not have to be full sovereign nation-members. Instead, they must be a customs territory with full autonomy in the conduct of their external commercial relations. Thus Hong Kong (as "Hong Kong, China" since 1997) became a GATT contracting party, and the Republic of China (Taiwan) acceded to the WTO in 2002 as "Separate Customs Territory of Taiwan, Penghu,Kinmen and Matsu" (Chinese Taipei) despite its disputed status. The WTO Secretariat omits the official titles (such as Counselor, First Secretary, Second Secretary and Third Secretary) of the members of Chinese Taipei's Permanent Mission to the WTO, except for the titles of the Permanent Representative and the Deputy Permanent Representative.

Literature: 1-36.