Preface

International Trade and Finance is a unique series of open educational resources that connects world events to economic and financial analysis. This OER explores not only the economics of international trade but also the feasibility analysis for making decisions regarding international trade and the role such analysis plays in selecting appropriate trading partners. The series also explores the risks faced by international organizations in trade finance and the various financial tools available to mitigate them. Thus, the International Trade and Finance series covers three key areas in three parts:

• Part 1: Economics of International Trade (Chapters 1 to 8)
• Part 2: Feasibility of International Trade (Chapters 9 to 15)
• Part 3: International Trade Finance (Chapters 16 to 22)

Part 1: Economics of International Trade introduces readers to the benefits of the free movement of goods and services and the factors of production, such as capital and labour, for participating countries and the world. We also explore the protectionist policies that limit the international trade in goods and services and productive resources. Readers are introduced to the effects of several protectionist policies, such as tariffs, quotas, and economic integration, on economic well-being and to the conditions under which such policies can make individual countries better off economically. Some policies and practices, such as dumping and export subsidies, adopted by governments and domestic producers to encourage exports are also evaluated.

Part 2: Feasibility of International Trade introduces readers to multiple tools and frameworks for assessing whether an organization is ready to enter international markets and to help them select the correct market for their products and services. We also present various rules and regulations applicable to international trade and provide readers with links to online resources where they can learn about various government organizations that help businesses with international expansion.

Part 3: International Trade Finance introduces readers to the role of trade finance in international trade decisions. Organizations around the world face many financial challenges when they decide to go global, including non-payment, non-performance, currency risk, etc. The text sheds light on the role financial tools and international financial organizations play in mitigating these risks.

After reading the three parts of International Trade and Finance, students of international business will have a sound knowledge of these key concepts and their application in the real world.