How does international trade shape national governance? 🔊
International trade shapes national governance by dictating economic priorities and influencing policy decisions. Countries often enact trade agreements that reflect their economic interests and strategic objectives, impacting regulations around tariffs, imports, and exports. Trade policies can stimulate economic growth, yet may also lead to social tensions, especially when local industries face competition from foreign markets. Additionally, trade has implications for foreign relations, as nations use economic ties to strengthen diplomatic partnerships or exert political pressure. As such, international trade becomes a key component of a nation's governance strategy, influencing its policy landscape and global standing.
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