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Kredisov “Management of foreign economic activity” Kyiv 1998

Kredisov “Management of foreign economic activity” Kyiv 1998

Then the bank buys the dollars at the new rate when they increase, pays the lender the dollar amount and the exporter, thanks to the deposit there are no losses.

Currency options are also used. This is a privilege obtained by paying a known premium by one person (bank, firm) in order to give another person the right to either buy or sell currency at an agreed rate on any day during a certain period, or withdraw from the transaction without compensation. A currency option gives its buyer the right to choose between the execution or the agreement of waiver of obligations under the relevant conditions.

Foreign exchange futures help to avoid losses from exchange rate fluctuations. These are futures agreements under which the purchase and sale of currency at a fixed rate at the time of the transaction. The operation takes place over a period of time up to 1-3 years.

Ordinary futures transactions do not end with the provision of available funds, because the purpose of such transactions is hedging. If the sale of currency was not carried out, then in the case of a weakened exchange rate would be a direct loss.


International trade relations and their regulation. Abstract

State export policy. Instruments of state policy in the field of foreign trade. Activities of international trade organizations

State policy in the field of international trade relations

Regulation of international trade relations is carried out at three generalized levels:

at the enterprise level. at the state level. at the level of international organizations.

An important strategic task for the company is to choose the optimal parameters of the organizational structure of foreign economic activity: the nature of the production specialization of the firm, the size of the firm, the form of management, the level of export development.

A significant role in strengthening the position of national companies in the world market belongs to the state, state methods of regulating foreign trade, export policy of the state.

In order to regulate its foreign trade, each state legislators certain rules and conditions of foreign trade policy. With them, the state tries to provide the most favorable conditions for domestic producers, to create the necessary conditions for the export of national goods to the markets of other countries, and for the import of necessary foreign goods into their country.

Historically, there have been two opposing systems (two types) of foreign trade policy: free trade policy (liberalization) and protectionism.

Liberalization – is based on the removal of any obstacles to the import and export of foreign and domestic goods. Such a policy is pursued by countries with a high level of development, which allows them to withstand competition.

Protectionism is a policy of protecting the domestic market from foreign competitors through a system of import restrictions. The policy of protectionism protects domestic producers by encouraging their development, but on the other hand such a policy can lead to a decline in the competitiveness of domestic goods, to increased illegal import of imported goods (smuggling), to other countries to apply appropriate measures to export goods. Protectionism prevails in the foreign trade policy of developing countries.

In most cases, countries pursue flexible foreign trade policies, selectively use protectionist methods and introduce elements of free trade.

Forms of export promotion:

Public and private export crediting. State insurance of export credits. Additional export benefits. Allocation of export subsidies. Organizational and informational assistance in exports from the state.

Instruments of state policy in the field of foreign trade

In general, public policy instruments are divided into tariff and non-tariff.

Tariff measures of the foreign economic policy of the state are directly related to customs duties.

Customs tariff – is a systematic list of goods indicating the customs duties they are subject to when crossing the state border.

Duties increase the price of imported or exported goods, thus affecting the volume and structure of foreign economic turnover. Duties are: ad valorem (% of price), specific (% by weight, volume), mixed.

Non-tariff measures to regulate foreign trade are divided into several categories.

1. These are measures that are directly aimed at restricting export-import operations in order to protect certain sectors of the national economy.

Licensing – involves the issuance of an importer or exporter through an authorized state body a license to import or export certain goods within a specified period.

Quotation is a restriction in value or quantity that is imposed on the import and / or export of certain goods for a certain period.

Anti-dumping duties – are applied at import of the goods in case of the fact of dumping – sale of the goods abroad at the prices lower than in the national market.

Compensatory duties – are applied in case of detection of the fact of receipt by the exporter of the state subsidy for the purpose of increase of its competitiveness in the world market.

Import deposits are a form of collateral that an importer must make to his bank in national or foreign currency before purchasing foreign goods.

Import taxes – include: tax for crossing the border, fees for customs documents, fees for customs inspection of goods, quality control.

Trade agreements – on voluntary restriction of exports, on the establishment of minimum export prices.

2. These are measures that relate to purely administrative formalities for the export-import of goods and are not directly aimed at restricting foreign trade. These include: establishment of technical and sanitary standards and norms, requirements for packaging and labeling, requirements for bottling.

3. These are measures whose actions significantly affect the ultimate impact on exports or imports: currency restrictions, investment regulation.

Activities of international trade organizations

As already mentioned, there is regulation of international trade relations at the level of international organizations. The most influential of them are:

UNCTAD (United Nations Conference on Trade and Development) – established in 1964, deals with the whole set of issues on the promotion and development of international trade on an equal and mutually beneficial basis.

GATT / WTO (General Association for Tariffs and Trade) is a world trade organization that regulates the regime of mutual trade and trade policy of member countries.

The ICC (International Chamber of Commerce) is a non-governmental international organization that unites national federations of entrepreneurs interested in developing economic and financial ties.


IM School VM Kozmenko “International Economic Relations” Chernivtsi “Ruta” 1996 133-146. V. Kozyk LA Pankova “World Economy and International Economic Relations” Lviv 1995. M. A. Goltsberg AV Voronova “International Trade” K. 1994.A. I. Kredisov “Management of foreign economic activity” Kyiv 1998 33-51.


International economic relations: habitats. Abstract

The essence and structure of the IEA environment. Natural and geographical environment of the IEA. Political and legal environment of the IEA. Economic environment of the IEA. Socio-cultural environment of the IEA

The essence and structure of the IEA environment. The IEA environment can be defined as a system of conditions and factors for the existence of international economic relations. This environment can be divided into internal and external environment.

The internal environment of the IEA is the internal structure of the IEA system together with its internal laws of existence, functioning and development. (FEA, management, subjects, forms and types, internal laws)

The external environment of the IEA – is external to the subjects of the IEA conditions for the implementation of forms and types of different types of IEA:

1. By spheres of influence: natural-geographical, political-legal, economic, socio-cultural environment.

2. By the immediacy of the impact, action:

conditions and factors of direct (immediate) action – international organizations, international law, trade missions, communication networks – all this is the infrastructure of the IEA. conditions and factors of indirect (indirect) action;

Natural and geographical habitat of IEA

The main conditions and factors influencing the development of IEA are related to the uneven location of natural resources, the presence or absence of certain resources in different countries.

The availability of resources is closely related to the diversity of climatic conditions, which contributes to the development of the international division of labor, and, accordingly, plays a significant role in the development of the IEA. For example: in countries with warm climates, two crops are harvested; maritime countries establish economic ties with each other by sea; countries of one continent use road and rail transport.

No less important role is played by the geopolitical location of the country is the location in relation to other countries on the way or at the intersection of various interests of the world economy. Countries at the crossroads of such pathways specialize in providing financial, commercial and transport intermediation services.

Political and legal environment of the IEA

The political and legal environment affects the IEA not so much in terms of conditions and factors of their existence, as in terms of their development. International politics is a kind of mechanism for satisfying or reconciling the interests of the subjects of international relations

International politics is a set of methods and tools aimed at achieving goals and objectives arising from the interests of the subjects of international relations. One of the main political interests of each country is the normal progressive course of development of its own economy, which depends on various internal and external factors.

If the foreign economic activity is successful, the national economy will develop better, the country will be richer, and the living standards of the population will increase. Important political interests include:

possession of the latest information; the latest technologies; development of the social and cultural sphere; raising overall prestige.

A significant role in the development of international cooperation is played by the political stability of the country – it is unlikely to change its political status for a long time in the form of social conflicts (strikes) and political acts such as terrorism, coups.