Final answer:
International trade in the 21st century has significantly increased due to advancements in shipping, computing, and telecommunications. International treaties have also played a role in promoting trade. These factors have deepened economic interconnectivity, as evidenced by the increasing proportion of imports and exports in national economies like the United States and Botswana.
Step-by-step explanation:
Increased Connectivity Through International Trade in the 21st Century
The advent of globalization has reshaped economic interactions and cultural exchanges globally. A remarkable feature of the 21st century has been the substantial increase in international trade, propelling connectivity between countries to unprecedented levels. Several key developments have driven this phenomenon:
Advancements in shipping and air cargo have significantly reduced transportation costs, making the movement of goods across borders more cost-effective.
Innovations in computing and telecommunications have simplified and lowered the cost of managing long-distance business activities, such as production and sales.
Digital products, including computer software, travel services, and entertainment, can now be distributed globally at minimal costs thanks to the internet and telecom networks.
International agreements and treaties have been instrumental in fostering an environment that is conducive to greater trade between nations.
With these strides, the world economy has seen an increase in the volume of trade. As an example, the share of imports and exports in the United States GDP has grown from 11% in 1970 to 32% in recent years, illustrating the deepening economic interconnection. Moreover, the role of trade in economies such as Botswana's, which reports that 97% of its economic activity is linked to trade, underscores the extensive reach of globalization through international trade.
Trade policy plays a critical role in shaping these international economic relationships, encompassing the laws and strategies that countries employ to govern trade. While the move towards a more interconnected global economy has its advocates, it also faces scrutiny and critique, making it a subject with multifaceted perspectives and implications.