Managing Trade Relations in the New World Economy

In the wake of the Soviet collapse and shift in emphasis from the Northwest to the Southeast, a different balance of power has emerged in the global economy.Managing Trade Relations in the New World Economyanalyzes the impact of this "new order" for international trade. Thomas Andersson examines how exports from the economic superpowers of East Asia have exploded and resulted in huge trade surpluses while the economies of the west have accumulated equally massive deficits. He identifies the key factors in East Asian success as human capital, the application of new technologies, and foreign investment. Andersson demonstrates that the external policies of the European Community will have a great influence in shaping the future of international economic relations. He emphasizes the need for an agenda of "openness"--sharing the mutual benefits of trade with East Asia and with the world at large.

Thomas Andersson has been a Visiting Fellow at Harvard University and the University of Sao Paulo.