Global market and international division of labor

Global economic ties originate in world trade, which has grown from a single trade transactions to long-term large-scale economic and trade cooperation. Originating at the manufacturing stage of development of social production (XVI century), the world market actively formed under the influence of the movement of merchant capital, both economically and politically established in the majority of European countries. Specificity of the later stages of development of the world market is associated with the industrial revolution XVIII-XIX centuries., Attaches great dependence of heavy industry from the international exchange. The final stage of formation of the global market, which is about the end of XIX - early XX century, meant the growth of international trade, changes in the structure of trade flows, leading to mutual entanglement of national economies. The world market is derived from the domestic market. However, he has an active reaction on the macroeconomic equilibrium of separate economic systems. Segments of the global market is defined as the traditional factors of production - land, labor and capital, and relatively new - information technology and entrepreneurship, the importance of which increases under the influence of modern scientific and technological revolution. Markets for goods and services, capital and labor, formed at the supranational level, result from the interaction of world demand, world prices and world supply, are influenced by cyclical fluctuations, operating under monopoly and competition. The maturity of world economic relations is determined by the rate of growth of trade and material production. On developments in international economic relations, according to data on the structure of the commodity, the specific weight of transactions conducted in the labor market and capital market, the dynamics of world prices, directions of movement of goods, services and capital. Analysis of the extent of imported goods (import) and out of the country's industrial products, resources and investment (exports), taken in terms of money, is used for compiling the balance of costs and revenues of the state, called the balance of payments. "Openness" of the economy, the extent of its involvement in the world economy can be estimated on the basis of calculation of indicators export quota and the volume of exports per capita. The export quota equal to the ratio of exports to the value of the gross national product (GNP). An important place in explaining patterns of international economic relations is the mobility of factors of production, due to improvement of the productive forces of society, the processes of the international division of labor. The world market took shape as the integrity of the beginning of XX century. Before the machine stage international division of labor based on its natural basis - the difference of climatic conditions in the country, geographical location, resources and energy. Therefore, the economic relations between countries were mainly focused on the exchange of products, which are not produced in this or other countries. With the establishment of large-scale machine industry deepened differentiation of production, growing specialization and cooperation that goes beyond national borders. Relationship with the natural basis is shown as a function of advanced industrial countries on the supply of fossil or agricultural products from those regions of the world where this is a sufficient condition. In addition, industrialized countries put increasing demand for agricultural produce from outside, since a significant proportion of the population of their own country is diverted from farming, and adds to the labor market for industrial production, concentrated in urban areas. Thus, a steady trade exchange between countries producing industrial products, and countries that supply raw materials. Competition will intensify manufacturers to find the most cost-effective technologies that reduce the cost of raw materials and energy. Efforts have multiple actions to limit labor costs of employees, including by bringing cheap labor from abroad. Enhanced migration of labor, organize the production of cheaper artificial substitutes of raw materials. World economic center moved from the sphere of circulation in the sphere of production, lays the objective basis for the movement of capital. These trends could not help but reflect on the world trade. Thus, the volume of industrial products in the structure of the supply begins to dominate over commodities, including food and fuel. The industrialization of agriculture of developed countries increased their self-sufficiency in food. Supply of agricultural products from countries that have traditionally specialized in the production of this type of goods has been falling. At the same time limit the consumption of natural raw materials imported from underdeveloped countries. Increased capital investment required to increase imports of equipment, which determined the need for investment. Increased trade in durable goods and new types of industrial products related to the achievements of scientific and technological revolution. Increase the share of manufactured goods in international trade contributed to the rapid growth in commodity prices and food prices compared to prices of manufactured goods. There has been expansion of trade among developed countries, production of heavy industries. Thus, the international division of labor gradually spread to all the structural elements of the social division of labor. The exchange, carried out at the international level, contributed to, and he himself was the result of the deepening division of labor between large areas of the economy, industry and agriculture, between the branches of these areas, increased substantive, detailed hotel and technological specialization. The present stage of world economic relations characterized by an increase of dependence, resulting from the relocation of production in developed economies, a new technological base, with a predominance of information technology. A new qualitative state of the productive forces has stimulated the internationalization process of reproduction, which manifested itself in two basic forms: integration (convergence, vzaimoprisposoblenie national economies) and trans (creation of transnational industrial complexes).