Global economy and economic development

Globaleconomy and economic development

Globaleconomy and economic development

Aninternational organization basically refers to an association orentity with an international coverage and membership. Notably,international organizations can either be governmental ornon-governmental. Their role largely depends on the interests andobjectives of member states. The study will primarily focus on theimportance of international organizations, agreements, governance forthe international marketplace, issues in the international politicaleconomy and free trade (Pavlovic,2010).

  1. Importance of International organizations and agreements

Tobegin with, international organizations help in setting internationalagenda for the respective member countries, they provide a platformfor political initiatives and coalitions. They also facilitate theprocess of mediating political bargaining. On the same note,international agreements are vital because of the key role that theyplay in setting long-term solutions on environmental issues. Theyeducate member countries on how to use innovations to conserve theenvironment. They also initiate policy dialogues and stakeholdernegotiations (Pavlovic,2010).These international agreements compel member countries to committhemselves towards developing national legislation so that they canpromote an environmentally sound management system. It is alsoimportant to note that international agreements together withdomestic regulations which should be set by member countries,substantially contribute to the management of hazardous wastes andharmful recyclable materials at the international level.Additionally, international agreements establish new levels ofintegration and cooperation between member states, they alsostrategize on the most appropriate resolution to apply when dealingwith both actual and potential international conflict.

  1. Governance for international marketplace and issues in international political economy

Ordinarily,the international marketplace is always composed of companies andorganizations from various parts of the globe who seek to explore thedevelopment opportunities available. Therefore, governance is verycritical to address some of the risks which are detrimental to theirsuccess (Pavlovic,2010).Apart from that, governance for international marketplace ensuresthat an appropriate arrangement system is put in place so that issuesof financial risks are mitigated (Pavlovic,2010).Governancemotivates the executive management of various companies taking partin international market transactions to address international growthissues.

  1. What are some other important issues in international political economy?

Internationalpolitical economy focuses on handling the most critical concerns inglobal politics using theoretical and analytical tools. Some of theimportant issues in global political economy include the causes offinancial crisis, the reasons as to why a smaller percentage of theworld’s population controls vast wealth while the rest live inpoverty as well as some of the mechanisms or strategies that can beused to control the situation (Pavlovic,2010).

  1. Free trade

Itis a policy enacted by some international markets in which thegovernments of the respective countries eliminate restrictions onimports and exports. The advocates of free trade suggest that itimproves the living standards of people by allowing the low-pricedcommodities to enter the market. Moreover, it provides more jobopportunities in the economic market as well as helping nationsdevelop best policies for their countries. On the other hand, thecritics and opponents argue that free trade negatively affects thegrowth of infant or industries on the verge of collapsing. Further,the critics argue that free trade has negative long-term effects onthe environment because less developed countries might exploitnatural resources for exportation purposes (Pavlovic,2010).

Domesticand international policymakers have adopted continuous innovationstrategies for better products to meet the international marketdemands(Pavlovic, 2010).Theyhave also put effective measures to minimize financial risks as wellas ensuring both consumers and countries are exposed to new productsand markets. Free trade debates advocate for member countries toadopt and implement internationally recognized-standards which areessential for environmental protection. Member countries shouldn’tlower or waive existing environmental laws in an effort of trying toattract investment. Equally important, free trade debates support thepromotion of human rights with regards to food water, health, anddevelopment. In conclusion, international organizations, free tradeand governance for international marketplace play a vital role instabilizing the global economy and promoting economic development(Pavlovic,2010).&nbsp


Pavlovic,Z. (2010).&nbspTheChanging Global Economy.New York: Infobase Pub.