Wednesday 24 December 2014

Taking A Look At Trade Stuff

By Stacey Burt


The only drawback was that the money had to be an agreement within a community, could have no money sense out of context. For example, if the exchange element of a community were whale teeth, those teeth were worthless outside the community (trade stuff). So a little later came the concept of currency. Currency, now is an element of exchange accepted in an area much more extended than the community itself.

The Spanish and Portuguese rule established new routes, forced other European powers such as England and the Netherlands, to seek alternative routes. These countries were devoted to systematically explore the Indian and Pacific oceans. These commercial expeditions were the beginning of British Empire. Thus Europe overturned on finding new routes to India to restore the import of spices. But finally, Portugal and Spain were the two countries that obtained the monopoly ofse routes, thanks to work of explorers such as Christopher Columbus, Vasco da Gama, Ferdinand Magellan and Juan Sebastian Elcano.

Before the nineteenth century transatlantic crossings between America and Europe were made in sailing, which was slow and often dangerous. With steamboats, crossings became faster and safer. Then they began to emerge major ocean carriers with very frequent crossings. Soon, the fact build the largest ocean liner, fast or fancy, became a national symbol.

From the seventeenth century onwards, almost all transatlantic crossings to North America, port of arrival was New York. Soon transatlantic trading New York became the first port in North America, and consequently attracted most of goods and all future transatlantic passenger traffic. New York became the commercial capital of United States (US) and one of most important cities in world.

Non-combatant members of Order of Temple (Knights Templar) (XII-XIII) managed a complex economic structure throughout the Christian world, creating new financial techniques (notes and even the first bill of exchange) that constitute a primitive form of modern bank. Among the services offered was transporting money. The pilgrims could deposit money in an establishment and then go to another facility and remove, even between different countries, thus contributing to road safety. This was the first draft.

Barter was the way ancient civilizations began to trading. It is exchanging goods for other goods of equal value. The main drawback of this trading is that the two parties involved in business transaction had to match the need of goods offered by the other party. To solve this problem arose a series of intermediaries that stored the goods involved in commercial transactions. These intermediaries often added a too high risk inse transactions, and therefore this trading was quickly shelved when it appeared the coin

The pioneers in this area were money changers operating in annual fairs and basically dedicated to make changes in currency charging a commission. These moneychangers were growing to point that were the great families of European bankers like the Medici, the Fugger and Welser.

Globalization, from the economic point of view, is a derivative of neocolonialism tendency to try to make a free trading area internationally. Globalization born as a result of need to reduce production costs to producer's ability to be competitive in a global environment. Many pacifists and environmentalists protesting against this trend, for more protectionist policies. Other labor groups also shown strongly opposed to globalization, as multinationals move jobs from developed countries to countries third world with much lower wages.




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