In this reading, we will study economics in the context of global trade. We will start with an understanding of how a country’s Gross Domestic Product (GDP) and Gross National Product (GNP) is calculated.
We will learn about how goods and services move across borders and how trade partners benefit from exporting and importing goods and services. We will also learn about various trade and capital restrictions and how they impact economies. We will then learn about how a country calculates its balance of payments. Finally, we will review the role of international organizations in facilitating international trade.