Basically trade means exchange of goods, services, or both. Trade is also called commerce. The actual face of trade was barter, which was the direct exchange of goods and services. Today traders generally negotiate through a medium of exchange, like money, which then makes buying separate from selling, or earning. The invention of money has made trade simpler. Trade between two traders is called bilateral trade, while trade between more than two traders is called multilateral trade.
Trade exists for many reasons. It can be due to specialization and division of labor. Trade exists between regions because different regions have a comparative advantage in the production of some tradable commodity, or because different regions' size helps getting benefits of mass production.
History of Trade: Trade originated in prehistoric times. It was the main facility of prehistoric people, who bartered goods and services from each other when modern money was never even thought of. Peter Watson dates the history of long-distance commerce from circa 150,000 years ago.
Trade is believed to have taken place throughout much of recorded human history. Materials used for the creation of jewelry were traded with Egypt since 3000 BC. Long-distance trade routes first appeared in the 3rd millennium BC, by the Sumerians in Mesopotamia when they traded with the Harappan civilization of the Indus Valley. Trading is greatly important to the global economy. From the very beginning of Greek civilization to the fall of the Roman Empire in the 5th century, a financially worthwhile trade brought valuable spice to Europe from the Far East, including China.
The fall of the Roman Empire, and the succeeding Dark Ages brought insecurity to Western Europe and a near end of the trade network. However some trade did occur, the Radhanites were a medieval group of Jewish merchants who traded between the Christians in Europe and the Muslims of the Near East.
The Sogdians ruled the East-West trade route known as the Silk Road from the end 4th century AD to the 8th century AD.
The Vikings and Varangians also traded from the 8th to the 11th century as they sailed from and to Scandinavia. Vikings sailed to Western Europe, while Varangians to Russia.
Vasco da Gama restarted the European Spice trade in 1498. Earlier to his sailing around Africa, the flow of spice into Europe was controlled by Islamic powers, especially Egypt. The spice trade was of major economic importance and helped encourage the Age of Exploration. Spices brought to Europe from distant lands were some of the most valuable commodities for their weight, sometimes rivaling gold.
In the 16th century, Holland was the centre of free trade, imposing no exchange controls, and advocating the free movement of goods.
In 1776, Adam Smith published the paper ?An Inquiry into the Nature and Causes of the Wealth of Nations?. This paper criticized Mercantilism, and argued that economic specialization could benefit nations just as much as firms. Since that time the division of labor was restricted by the size of the market, he said that countries having access to larger markets would be able to divide labor more efficiently and thereby become more productive.
The Great Depression was a major economic collapse that ran from 1929 to the late 1930s. There was a great setback in trade and other economic indicators during this period.
The lack of free trade was considered by many as a root cause of the depression. Only during the World War II the recession ended in United States.
History of Money: The first instances of money were objects with fundamental value are called commodity money and includes any commonly-available commodity that has intrinsic value; historical examples include rare seashells, whale's teeth, and cattle. In medieval Iraq, bread was used as an early form of money.
Roman denarius Currency was introduced as a standardized money to facilitate a wider exchange of goods and services. This first stage of currency metals were used to represent stored value.
As the system of commodity money evolved in many instances it then became representative money.
Current Trends: Doha round The Doha round of World Trade Organization negotiations aims to lower barriers to trade around the world, focusing on making trade fairer for developing countries. Talks have been hung over a divide between the rich, developed countries, and the major developing countries. Agricultural subsidies are the most significant issue upon which agreement has been hardest to negotiate. By contrast, there was much agreement on trade facilitation and capacity building.
The Doha round began in Doha, Qatar, and negotiations has subsequently continued in: Canc'n, Mexico; Geneva, Switzerland; and Paris, France and Hong Kong.
In truth, officials in the U.S. government will listen to what you have to say, but only if you deliver your message in a way that makes sense to them. Here are seven techniques you can use to get them to sit up and take notice!
Technique Number 1: Be Specific About the Constituency Connection
U.S. elected officials and their staff represent the interests of the constituents they represent. Period. Every member of the U.S. House represents about 750,000 people, while every member of the U.S. Senate represents everyone in the state. In order to make an impression, you MUST be able to demonstrate how your issues connect to their constituents "back home."
What does this mean? For International NGOs, it means that if you have a great policy idea or program, you should work to build support among U.S. citizens and get them to reach out to their elected officials. This might include partnering with U.S. groups already working on related issues, or creating grassroots networks in key communities. For businesses, it is essential to understand how policies might impact jobs, development or trade issues in U.S. congressional districts and states -- that's what U.S. elected officials want to know.
Technique Number 2: Be Specific About What You Want
"Educating" U.S. elected officials on international issues rarely succeeds. The best way to ensure that the office pays attention to your issue is to ask for something specific. Sometimes, that might be funding for a specific program or support for (or opposition to) a policy idea. In other situations, that might mean asking them to submit a statement to the Congressional Record (find it at www.congress.gov) or meet with concerned constituents in their district. Rather then sending reams of paper and statistics on the challenges or opportunities overseas, ask them to make a decision of any sort, and you'll have much more success.
Technique Number 3: Offer To Be a Resource
Elected officials and their staffs usually are not experts in the issue areas they cover and often turn to trusted outside experts for advice. This is especially true for international issues, where the politics are complicated and the consequences of an inappropriate action can be dramatic. If you are an expert in your field, let your congressional office know that you can answer any questions they may have.
Number 4: Tell a Compelling Story
Compelling stories make for powerful messages, perhaps even more so than "shock and awe" statistics. While you don't want to ignore the data, be sure to pay equal attention to the anecdotal stories that make your point. Your job is to MAKE IT REAL for the elected official or staff person. You can achieve that goal by telling a personal story.
Think about it: there's some reason why you've decided to be an advocate on your issues. You've seen the challenges first hand -- you've met the people affected -- you've seen the impacts of certain U.S. policies. You bring a sense of reality and urgency to your requests by demonstrating their concrete effect on real human beings who you interact with every day.
Number 5: Understand Your Audience
Committees rule in Washington, DC, especially when it comes to foreign policy decisions. In order to be successful, you must have an understanding of how the committee structure works. International organizations should, at a minimum, have contacts in the House and Senate Foreign Relations, Appropriations and Tax-related Committees (House Ways and Means and Senate Finance). Check the House and Senate websites at www.house.gov and www.senate.gov to gain an understanding of these structures. Then think about how you can gain a foothold in the districts of Committee members or, at a minimum Committee chairs and ranking members.
This approach can be particularly useful when dealing with U.S. federal agencies. Think for a minute about where federal agencies get their funding from ? that's right, it comes from the U.S. Congress. Do you think agencies are more or less likely to pay attention to the concerns of those officials that approve their budget? If you guessed more, you'd be right. That's why it's essential to have connections on the Appropriations subcommittees related to your programs ? those officials can get the attention of related federal agencies very quickly.
Number 6: Get Others Involved in the Asking
There's a reason why groups seek celebrity involvement in their issues ? it works! Leonardo DiCaprio does not, to my knowledge, have a degree in environmental engineering. Yet he is seen frequently on Capitol Hill testifying on global warming. U.S. elected officials are star struck just like everyone else. For some reason they are more likely to hear a message when it comes from someone who exudes glamour.
Fortunately, the "others" that you ask to get involved don't always have to be celebrities. They might include business leaders, foreign dignitaries or the international media. Gaining an understanding of the interests and passions of the elected officials you are trying to influence can help you pinpoint the right people to approach. For example, if the chair of the Committee has introduced legislation on saving polar bears, you might want to see if you can get the planet's foremost expert on Polar Bear preservation involved in your cause ? even if totally unrelated to your policy concern!
That's right. Sometimes you have to help an elected official on an issue they care about before they will help you on your issue. So be creative in your outreach. Over time, the response will surprise you.
Number 7: Don't Give Up!
You should not expect an immediate response to your comments or concerns. In many cases, the issue may be one about which the member has not yet formed an opinion. Do, however, ask when you should call back to see if the member has taken a position. Perhaps the most important thing to remember in dealing with U.S. elected officials is that persistence pays. In many cases, you may have to ask two, three, or even a dozen times before the elected official is able to respond to your request. So keep plugging away ? and happy advocating!
Both Ibrahim Lodhi & Stephanie Vance are contributors for EditorialToday. The above articles have been edited for relevancy and timeliness. All write-ups, reviews, tips and guides published by EditorialToday.com and its partners or affiliates are for informational purposes only. They should not be used for any legal or any other type of advice. We do not endorse any author, contributor, writer or article posted by our team.
Ibrahim Lodhi has sinced written about articles on various topics from Religion, Nutrition and Pets. Ibrahim Machiwala is a recognized authority on the subject of trading and online stock marketing. For FREE reviews on Stock Exchange and Articles on Stock Market, Stock Broker Visit:. Ibrahim Lodhi's top article generates over 90500 views. to your Favourites.
Stephanie Vance has sinced written about articles on various topics from Shopping, Prospects and Legal Matters. Stephanie Vance, the Advocacy Guru, is author of ?Government by the People: How to Communicate with Congress? and a former Capitol Hill veteran. She lives and works in Washington, DC, offering workshops and advice for U.S. and International interests on. Stephanie Vance's top article generates over 49500 views. to your Favourites.