Share this story
Close X
Switch to Desktop Site

Trade Grows Faster Than Global Output

WORLD trade should grow by 7 percent this year. That's the estimate of the General Agreement on Tariffs and Trade (GATT). In its annual outlook, the Geneva-based international trade organization estimates that merchandise trade volume rose 8.5 percent in 1988. In explaining why the growth in world commerce is outstripping growth in world output by almost 2 to 1, GATT economists point to a number of changes:

Technological innovations are widening the scope of traded goods and services.

About these ads

The real cost of petroleum has fallen by one-half since its peak in 1980, bringing substantial savings to business and households.

The share of manufactured goods in world trade, in terms of value, has increased by one-third since 1980. These goods now account for 73 percent of the value of world merchandise trade and about one-half of the exports of developing countries.

The number of international joint ventures and mergers is growing alongside the rapidly expanding globalization of financial markets.

Follow Stories Like This
Get the Monitor stories you care about delivered to your inbox.