The international division of labor

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2020-07-03 00:20:09

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Differences between countries in geographical location, climatic and environmental conditions, raw material resources has led to the emergence of such concepts as “the international division of labor». It refers to the specialization of each individual mills in manufacturing any kinds of products. The entire economy, from global to individual enterprise or even worker-based division of labor.

No state today can not exist in isolation. Every day there is an exchange of goods, technologies, services, information etc because of this actively developing the world economy.

International division of labour is of the following types:

1. Industrial specialization of individual countries.

2. Subject (types of products).

3. Technological specialization (individual parts, components).

The International division of labor implies not only a rupture but also a community of manufacturing processes. In other words, to improve the efficiency of the process and obtain greater profits, in some cases, the separation or specialization of labor activity. Often, however, requires mutual aid and Union of efforts in the world. Based on this, distinguish between the international division of labor. And its forms can be of two types: cooperation and specialization.

International production co-operation involves the Union of companies from different countries to improve and accelerate the labor process for the production of any product. Signs of cooperation:

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1. The long-term.

2. Complexity. The production process affects the sales activities, scientific and research work.

3. A joint decision of all questions, starting from projects and finishing markets.

International specialization involves the production of a particular product only in the territory of one or more countries (to meet both its own and the world's needs).

It is Important to note that the international specialization and cooperation significantly reduce the capital intensity and reduce the time of production of goods.

A number of factors affecting the international division of labour and the result that will be participating:

1. Scientific and technical progress. The biggest impact on the world market is the emergence of new technologies in older industries. Especially it concerns the production of information.

2. The system of payments between countries.

3. The demand for products in the global market.

4. The national factor. In the international division of labor associated with their socio-economic and geographical features of various countries.

5. Environmental problems. They are forced to reassess natural resources and goods produced with their help.

Among others, you can highlight the most important socio-economic characteristics of the international division of labour:

  • Structure and organization of national production;
  • Economic and technological development;
  • The historical tradition of the country and its foreign economic relations;
  • Economic situation of the country;
  • Legislation.

The International geographical division of labour based on the availability of any mineral resources, labour resources in different countries. As a result, individual States are beginning to produce certain products and exchange them, there are economic relations at the international level.

The International geographical division of labor can occur only when a country begins to produce a certain type of product in quantities significantly in excess of its own needs. Besides, these products must be cheap enough that other countries have been profitable to buy it.

 


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Alin Trodden - author of the article, editor
"Hi, I'm Alin Trodden. I write texts, read books, and look for impressions. And I'm not bad at telling you about it. I am always happy to participate in interesting projects."

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