Trade openness

News


University clearing

The latest clearing advice.

Read more

Trade openness

The ratio of trade to GDP - an indicator of trade 'openness' - has increased for most  trading nations, and is a result of globalisation, and trade liberalisation.

According to the UK's Department for Business, Innovation and Skills (BIS) the trade to GDP ratio increase from 51.6 to 61.6 between 2003 and 2013.  However, according to the World Bank, UK trade openness fell to 59% in 2014.

Trade openness is calculated using the following equation:

Trade openness equation image

 

Benefits of trade openness

It is argued that trade openness brings many economic benefits, including increased technology transfer, transfer of skills, increased labour and total factor productivity and economic growth and development.


GDP latest
GDP latest

UK economy contracts by 0.2% in 2nd quarter of 2019.

Read more
Read more
Model agencies collude to fix rates

Regulators find leading model agencies guilty of price fixing.

Read more
Customs unions

Costs and benefits of customs unions.

Read more
New materials

Multiple choice papers for Paper Three.

Read more
Savings ratio

Savings ratio falls to lowest level on record.

Read more