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Poor countries and trade
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The GDP of poorest 48 nations is less than the wealth of the world's three richest people combined.

 

Labor; whether skill or unskilled is trade of services, is significant to present world order- Is an important factor of economic construction of any country. Skill laborers are in great demand any where in the world. But in developing countries lack of opportunities many times give disappointing situations so search their fortunes overseas. For unskilled laborers without education; opportunities and living conditions are very discouraging. Lack of opportunity in rural areas pushes them to urban cities to overpopulate. Nearly 50% of developing countries lack modern education.  And over 60% from rural population of developing countries are still either illiterate or semi-literate, especially, women education is discouraged. So they stay back in education standard and self dependence.   They find opportunities only in unorganized sectors where least skills required. Hence, they have to be content with available opportunities and pathetic living conditions. Women contribution to country’s economy remains negligible. Women in such countries are the poorest and oppressed by both religious and bad Governance of Governments. Buying power of the individuals evaluates country’s status. Education plays significant role in the development and if the education helps creating demand of jobs, is the best.

Education campaign succeeded significantly in many developing countries specially the urban population took advantage and uplifted themselves to match the world. Education campaigns developed skilled force to almost invade the developed countries by their capabilities and low cost. But there are very much restriction for educated youths for job permits. Many intellectuals seek to go abroad are forced to stay back due to restrictions of visa permits. This is an issue to be dealt in World Economic Forum and World Trade Organization. Trade liberalization should not only mean commodity transfer, liberalization of free transfer of employment opportunities should also be a part of trade. Employment is the rendered services and has to come under definition of “Trade”    

 

Most developing countries, despite having own strong minerals and natural resources are poor. Cause is lack of proper and advanced knowledge for processing/ shaping and finishing or adding value to it. Raw or semi finished goods are traded at pity value. (We have to realize one more point that over excavation and deforestation to promote sales would sustain economically but devastates the environment) Developed countries on the other hand with advantages of modern technology convert these to value added finished products, patent them for monopoly then market for high value. Such products can not be avoided as essential to keep up with modern time. If supposing export price of iron ore is $US60 a ton, import price of value added products for same quantity is $US600 per unit or go much-much higher depending items. The producing country of iron ore has to sell 10 tons to buy 1 ton of value added item. In case the requirement is more, has to increase out put to balance traded value, if lack capacity, export own essentials to minimize debt. Or seek help of International financing institutes to get loan to clear debt. Negative balances weaken economy to escalate inflation. For own advantage technology transfer is avoided or if transferred are with conditions say for high price, high installation cost, spare parts, repair, restrictions on use and etc; etc; this prevents utilization sensibly. Restricts poor to grow thus depend on basic items like spices, cereal, minerals, forest wood, textiles etc; or semi-finished for its exports in order to maintain. Many of basic items have high competition in the market, anti dumping problems or agricultural subsidy. Thus rich gets richer and poor to poorer.  Open market is an open competition and beneficial to equal competitors thus poor don’t gain much out of it. Research and development benefits are with only a few capitalists or developed countries; the advantages are not transferred or transferred conditionally so benefits do not reach all countries and its common people. These benefits can reach to all only when research and development is with international bodies or organizations, who can offer to share the research by charging expenses incurred including royalty to researchers.  It is now open world after the cold war so secrecy of research is not that essential except for self defense research, if done is only for domination and monitory gains.

 

Most under/ undeveloped countries are involved in boarder conflict with neighbors, escalating boarder maintaining cost. Military maintenance dominates the country planning to claim unexpected share of Government budgets. Also fueled by race to acquire latest warheads contributes to hike. Role of corruption among politicians and bureaucrats add up to escalate weapon acquiring expenditures. To compensate excessive allocation to military budget slashes social expenditure and loads new taxes on public to affects poor. Bad relation ruins trade between neighbors. Many items produced in neighboring countries can easily be accessed at better and cheaper price are generally imported through third party. What could get at normal now from third country unfortunately in double! Trade relation among neighbors can solve many problems even if any dispute exists. Both communities exchange their cultures too during trade, thus understanding is built. World is opening up to establish mutual relationship to promote trade but these some countries fail due to inefficient and corrupt Governments. Establishing trade with neighbor is more important than the relation with third nation because dependence develops peace and strength. Neighbors should visit each other frequently.  Consulting third country only deteriorates the situation best way is to settle mutually.  Similarly, civil war as in African countries is disastrous and an obstacle to growth. Greed of money has extended to extreme that corruption is now common in developing countries. In some cases not even 10% of Allocation on social sectors reaches to common man.  Real people who deserve, gets cheated assemble to oppose the Government, to me is civil war. Acquiring of weapons to thwart and acquiring weapons to oppose by both is fortune to weapon selling countries but misfortune to the population who suffer economically and mentally. Role of UN to bring peace in these areas doubts the minds of its effectiveness. Inability of UN Security Council or others to reduce such tensions  fails the purpose of its existence.

 

Major portion of weapons is imported from developed countries and surprisingly 5 permanent members of UNited nations responsible for global peace and security are suppliers of 85% of imports by world. United States is the largest exporter among them. Just imagine: How can we expect peace in the world? Why would they love peace? A weapon export is the most profitable industry in the world. Weapon manufacturing lobby is so strong in developed countries. Below link will clarify how these companies gain tremendous influence on political figures by pumping huge amount in presidential elections and other activities. The US arms industry is the second most heavily subsidized after agriculture. CLICK and follow article links:

3. The Global Threat of Small Arms and Light Weapons -- More than 70 states produce various light weapons and ammunition. Direct sales from weapons manufacturers to foreign governments or private entities are a principal source of supply. Such sales are usually regulated (that is, licensed for export) by national governments. In 1996, for instance, the U.S. State Departments licensed over $470 million of light military weapons for export. The Commerce Department, which has jurisdiction over industry-direct sales of shotguns and police equipment, approved an additional $57 million of exports. While these amounts are small in the context of the overall arms trade (estimated at some $30 billion annually), at $100-300 per gun these figures represent enormous quantities of weapons ( by fas.org)
 

Arms Trade is fortune for manufacturers/dealers and politicians/bureaucrats  of both exporting and importing countries but misfortune to the population with more burdens of taxes on account of subsidies to manufacturers and high cost of imports. Global peace can not be achieved as long as arms trade has huge profits. Arms trade will continue by hook or crook methods and adopt corrupt practices to promote sales. No manufacturer and the producing country will like to stop as long as political election is funded by arm manufacturers lobby. World military expenditure is nearly 1000 billion $US will further increase. UN security council functioning will always fail as long as permanent members having veto rights are the top sellers of weapons. UN needs to be democratized by giving rights to all members and 2/3 voting decisions. Only democratic UN will be able to curb by imposing sanctions and penalties on arms trade.

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Above subject is my views only, may be objectionable to some!  In case you feel uncomfortable please forgive and suggest corrections if any offence or mistakes. Students are advised to consult teachers before referring.

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Best education is to gain positive knowledge to survive and perform. When in the education, seeking highest marks becomes priority the objective is only how to get best percentage by hook or crook. Is this not the guidelines for children to become selfish!!!!!!!!!!!!!

Sadashivan’s quotes


"Life seems sometimes like nothing more than a series of losses, from beginning to end. That's the given. How you respond to those losses, what you make of what's left, that's the part you have to make up as you go."— Katharine Weber

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child labour photos, rural poverty photos, urban poverty photos, Ignoring rural development, Economics AND Management, Why women are poor and oppressed? TRADE & POVERTY relation, What is "BEHAVIOR", What is environment? Emotion is a reaction to the influence, What is culture? Africa to Indus-Valley (Dravidian,) Africa to Indus-Valley (Vedic Age), What is religion and how did it exist, What is civilization?, "ART" is reflection of identity!!! "Stress", "LOVE" is SUBMISSION to the ATTRACTION!!! THE COMMON LANGUAGES, Learning the skill to survive is "EDUCATION" !!! Evolution is a process for suitability !!!! Sex & Attraction, enjoy tribal dance click photos, Urbanization and the Future World, movies - videos, Handmade rugs/ carpets process photographs, social study books, SOCIAL STUDY TRAVEL LINKS.