How do trade agreements impact international relations? 🔊
Trade agreements impact international relations by fostering economic cooperation and interdependence between nations. These agreements, encompassing tariffs, regulations, and trade barriers, can enhance bilateral trade and investment flows, strengthening diplomatic ties. However, they can also create tensions, particularly if perceived as disadvantaging certain industries or sectors. By facilitating collaboration or discord in trade relations, agreements shape the broader geopolitical landscape, influencing alliances and national strategies, ultimately affecting global stability and economic growth.
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