Economic Integration Effects

	Economic Integration Effects Economic integration involves at least two countries to abolish customs tariffs on inner border between the states. This causes a number of effects, while the phenomenon itself has specific properties for its successful development. Properties Economic integration requires a lot of coherence Coherence, coherency, or coherent may refer to the following: Physics * Coherence (physics), an ideal property of waves that enables stationary (i.e. temporally and spatially constant) interference * Coherence (units of measurement), a deriv ... of the policies (customs, tax, financial, social policies, and entity registration) applied in integrated states. Economic parameters (domestic savings rate, tax rates, etc.) are striving to one single multitude. Coherence policy finally leads to equal multi-dimensional economic space within integrated area. At the same time, it is very similar to the process of mixing differently coloured liquids in a retort: coherence leads to one final col ... [...More Info...] [...Related Items...] OR: [Wikipedia] [Google] [Baidu]
picture info	Economic Integration 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. The trade-stimulation effects intended by means of economic integration are part of the contemporary economic Theory of the Second Best: where, in theory, the best option is free trade, with free competition and no trade barriers whatsoever. Free trade is treated as an idealistic option, and although realized within certain developed states, economic integration has been thought of as the "second best" option for global trade where barriers to full free trade exist. Economic integration is meant in turn to lead to lower prices for distributors and consumers with the goal of increasing the level of welfare, while leading to an increase of economic productivity of the states. Objective There are economic as well as political reasons why nations pursue economic integration. The economic rationale for th ... [...More Info...] [...Related Items...] OR: [Wikipedia] [Google] [Baidu]
	Property Rights (economics) Property rights are constructs in economics for determining how a resource or economic good is used and owned, which have developed over ancient and modern history, from Abrahamic law to Article 17 of the Universal Declaration of Human Rights. Resources can be owned by (and hence be the property of) individuals, associations, collectives, or governments. Property rights can be viewed as an attribute of an economic good. This attribute has three broad components, and is often referred to as a bundle of rights in the United States: # the right to use the good # the right to earn income from the good # the right to transfer the good to others, alter it, abandon it, or destroy it (the right to ownership cessation) Conceptualizing property in economics vs. law The fields of economics and law do not have a general consensus on conceptions of property rights. Various property types are used in law but the terminology can be seen in economic reports. Sometimes in economics, property ... [...More Info...] [...Related Items...] OR: [Wikipedia] [Google] [Baidu]
	Permanency Permanence is the state of being permanent: * Digital permanence Object permanence Print permanence In popular culture: * ''Permanence'' (novel) by Karl Schroeder In science: The inverse of inductance. In music: ''Permanence'' (album), a 2015 album by No Devotion See also * Impermanence, an essential doctrine of Buddhism * Permanent (other) Permanent may refer to: Art and entertainment * ''Permanent'' (film), a 2017 American film * ''Permanent'' (Joy Division album) * "Permanent" (song), by David Cook Other uses Permanent (mathematics), a concept in linear algebra Permanent (cycl ... {{disambig ... [...More Info...] [...Related Items...] OR: [Wikipedia] [Google] [Baidu]
	Trade Creation {{trade bloc Trade creation is an economic term related to international economics in which trade flows are redirected due to the formation of a free trade area or a customs union. The issue was firstly brought into discussion by Jacob Viner (1950), together with the trade diversion effect. In the former case after the formation of economic union, the cost of the goods considered is decreased, leading to an increase of efficiency of economic integration. Hence, trade creation's essence is in elimination of customs tariffs on inner border of unifying states (usually already trading with each other), causing further decrease of price of the goods, while there may be a case of new trade flow creation of the goods between the states decided to economically integrate. The opposite takes place in case of trade diversion, when the trade flow is diverted from actually cost-efficient partner state to less efficient one – but which became a member of economic union and made its goods chea ... [...More Info...] [...Related Items...] OR: [Wikipedia] [Google] [Baidu]
	Trade Diversion Trade diversion is an economic term related to international economics in which trade is diverted from a more efficient exporter towards a less efficient one by the formation of a free trade agreement or a customs union. Total cost of good becomes cheaper when trading within the agreement because of the low tariff. This is as compared to trading with countries outside the agreement with lower cost goods but higher tariff. The related term Trade creation is when the formation of a trade agreement between countries decreases the price of the goods for more consumers, and therefore increases overall trade. In this case the more efficient producer with the agreement increases trade. The terms were used by 'old' Chicago School economist Jacob Viner in his 1950 paper ''The Customs Union Issue''. Notable uses An early use of the terms was by Jacob Viner in his 1950 paper ''The Customs Union Issue''. Later in same decade Richard Lipsey noted that not only the location of production but ... [...More Info...] [...Related Items...] OR: [Wikipedia] [Google] [Baidu]
picture info	Terms Of Trade The terms of trade (TOT) is the relative price of exports in terms of imports and is defined as the ratio of export prices to import prices. It can be interpreted as the amount of import goods an economy can purchase per unit of export goods. An improvement of a nation's terms of trade benefits that country in the sense that it can buy more imports for any given level of exports. The terms of trade may be influenced by the exchange rate because a rise in the value of a country's currency lowers the domestic prices of its imports but may not directly affect the prices of the commodities it exports. History The expression ''terms of trade'' was first coined by the US American economist Frank William Taussig in his 1927 book ''International Trade''. However, an earlier version of the concept can be traced back to the English economist Robert Torrens and his book ''The Budget: On Commercial and Colonial Policy'', published in 1844, as well as to John Stuart Mill's essay ''Of th ... [...More Info...] [...Related Items...] OR: [Wikipedia] [Google] [Baidu]