When Is International Trade An Opportunity For Workers? When Is It A Threat To Workers?

585 words - 2 pages

ECO305-0804B-09Global Managerial EconomicsDavid KerbyDecember 3, 2008PHASE 1 DISCUSSION BOARD2When is international trade an opportunity for workers? When is it a threat to workers?International trade is rewarding as it is unsatisfying when it comes to the average worker. When a new business is started for that region or area jobs are expanded merely because it is expected that it will be at a rate of lower cost production along with less expense on product materials. The more the business is in demand the more job opportunities a created or expanded. In some incidents, not so much in Mexico, but in different areas it has resulted in the local economy struggling with jobs. In some new found companies or businesses, they find that bringing in pre-trained employees (especially white collar employees) and resources fair better than working with the local nationals in that area. This very well could happen in Mexico for different types of businesses, but it is still unlikely for the mere reason of bidding for the local support.Economic prosperity is a large reason for International trade, but along with the wealth is a better chance of rules, regulations, and benefits from employees with the new found business. The laws enforced by International trade agreements tend to stress more worker related issues than that of a host nation of many second or third world countries. If the benefits and laws all improve the local's views on the new business then a better turnout and support structure will follow for everyone involved. The best example of this is how NAFTA has implemented change and looks to have this enforced by all countries that agree to the terms with in the agreement.What are some of the major challenges confronting the international trading system?International trading has a plethora of challenges that barricade the system before any true benefits are reveled. Among...

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