United States – BUSPROG: Diversity
United States – PA – DISC: Gains from trade, speciali – DISC: Gains from trade,
specialization and trade
Globalization and Competition
46. What are the challenges of the international trading system?
Among the challenges that the international trading system faces are dealing with fair labor
standards and concerns about the environment.
United States – BUSPROG: Diversity
United States – PA – DISC: Gains from trade, speciali – DISC: Gains from trade,
specialization and trade
Backlash Against Globalization
47. Does exposure to competition with the world leader in a particular industry improve a firm’s productivity?
The McKinsey institute found that higher productivity rested on the ability of mangers to
invent new and ever more efficient ways of making products and on the ability of engineers to
design products that are easy to make. The institute researchers observed that in the auto
industry in Japan or the food industry in the United States, managers and engineers do not
achieve innovations because they are smarter work harder or are better educated than their
peers. They do so because they are subjected to intense global competition, where improving
labor productivity is the key to success.
United States – BUSPROG: Diversity
United States – PA – DISC: Gains from trade, speciali – DISC: Gains from trade,
specialization and trade
Globalization and Competition