What are trade agreements, and how do they impact international relations? 🔊
**What are trade agreements, and how do they impact international relations?**
Trade agreements are treaties between countries that outline the terms of trade, focusing on tariffs, import quotas, and other trade barriers. They can be bilateral (between two countries) or multilateral (involving multiple countries). By facilitating trade, these agreements can enhance economic interdependence and improve diplomatic relations. They often serve as a tool for countries to strengthen alliances, but they can also lead to tensions when interests conflict. Overall, effective trade agreements can boost economic growth and foster political stability among signatory nations.
Equestions.com Team – Verified by subject-matter experts