International economic agreements, such as **trade treaties**, significantly shape domestic laws by establishing rules that countries must follow. These agreements can influence various sectors, from **labor standards** to **environmental regulations**, often leading to legal reforms to comply with international obligations. Consequently, domestic policymakers must balance international commitments with local priorities, sometimes resulting in tension between globalized norms and national **sovereignty**. Additionally, these agreements can stimulate **competition**, affecting local industries and labor markets, thus shaping the broader economic landscape.