《Chapter 18Foreign Trade》.ppt

Chapter 18 Foreign Trade Zhang Jinliang December, 2007 Procedure 1. Summary of chapter 18 2. Students’ presentations 3. In-class activities A1 Introduction – From Imperial Power to European Partner The dominant economic philosophies in nineteenth century Britain were laissez-faire (non-involvement of the government in business) and free trade. After World War II, Britain initially established EFTA (European Free Trade Association) in 1950, along with other non-EEC European countries. Increasingly closer union between Britain and her European partners. A2 Imports Exports With 1% of the world’s population, Britain has approximately 5% of world’s trade. Britain is the fourth or fifth largest trading nation in the world, ranking behind the USA, Germany and Japan, and sometimes France. In the past, the Commonwealth countries were Britain’s chief trading partners. This trade has declined and trade with Europe has increased. The diagram on p.291 shows the changing pattern of Britain’s export trade. The European Union --- Britain joined the EEC in 1973 and as one of its members Britain is now part of an EU trading bloc accounting for about one third of the world’s trade. --- Nowadays the nations of the European Union taken as a whole are the largest group of countries both as suppliers and markets for the UK. In 1998 they bought 58% of British exports and provided 55% of the country’s imports. --- Within the EU Germany is Britain’s major market and supplier of imports (mainly machinery and manufactured goods including cars and chemicals). Next in importance are France, which sells manufactures and food to Britain, and the Netherlands which provide dairy produce and other food, followed by Italy, Belgium and Ireland. --- In 1992 the Single European Market was introduced. This enables the free passage of goods, capital and labour between the member countries. A3 THE INTERNATIONAL ROLE OF THE CITY OF LONDON The City of London has the greatest concentratio