Applied the course material (PPT) to the current event. Responses should be clear, articulate, analytical, and relevant to both the post and class material for this week.
Global trade became popularized with the creation of the city of Manila. Since then, global trade has continued to flourish, taking off due to the high demand of Latin American silver imported to China. The article, “As World Economy Shifts Gears, Trade Growth Slows” once again focuses on the pivotal role China plays in the overall success of global trade. Beginning in 2019, the United States and China were involved in a trade war. The article states that, while both countries have agreed upon a “tenuous truce” with the disbanding of certain trade sanctions, the Trump administration’s decision to stop the World Trade Organization from allowing new members into its appellate court might prove to be detrimental to global trade. Although, the Doha Rounds of W.T.O. talks were created to improve trading for developing countries, it has been inactive since 2008. These are not the only factors affecting global trade, however. The slowing of global trade can also be attributed to the “one-off shift” to bulk orders and Asian workers moving from the countryside to factories. Free trade is presented as something that is being threatened, with Europeans being denoted “the last men standing” when it comes to this form of trade, due to China’s current rulers and the United States’ overall hesitancy in regard to global trade. The article goes on to discuss climate change, and the need to conduct trade in a way that goes against its current carbon-intensive ways. It concludes by stating that it appears that the only way to shape the new environmental politics of trade is to have Europe and China work to conduct trade in a manner conducive to these new politics. The necessity to reform global trade is not something that is new, however. Once the supply of silver exceeded the demand, the entire global trade system was compromised and economies, such as the Spanish economy, that once thrived on this form of trade collapsed. The practice of global trade, however, did not. This creates the following questions:
Based off of the article and the reading, do you think the way in which global trade is conducted will change?
What do you think would happen if World Trade were to come to a stop?
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