International economics Essay Example | Topics and Well Written Essays - 6250 words

International economics - Essay Example UK economy has experienced greater growth in the current century as compared to the last few decades of the twentieth century. However, the international trade scenario of UK does not seem promising with a consistent trade deficit although there has been growth in both export and import values. This is because the real value of imports remains far below than the real value of exports. The growth of service exports in developing countries has also affected UK economy as the nation has lost market for service exports in those countries especially China. In the backdrop of globalization no country can survive within the boundary of economics at national level. A country’s economy including industry, service sectors, employment and standard of living is dependant on the association with its trading partners. This association is established with import and export of goods, services, labour, technologies and investments. It is not possible to create national economic policies without considering their effect on the economies of other countries. With a number of factors like the formation of the European Union in the 1950s, the growth of multinational companies in the 1960s, the growing market strength of the oil producing countries, and introduction of euro in the beginning of twenty first century have all paved the way for interdependence of countries worldwide and evolution of a global economy (Carbaugh, 2010, p.1). In the world of business in the current century, business is the key factor in the relationships between differe nt countries. Today any business enterprise even the small and emerging ones consider every nook of the world as market for its products and services, and no business confines its activities within the national boundaries. In many companies, the annual sales level exceeds the gross national product (GNP) of some