Topic: Divisive Power of Exchange in the international Market. (Read 61 times)

There is some obvious stratification in our world and it cuts across all fields of human endeavor and how the society is shaped. Its no doubt that, the third world countries would have a reproach towards every policy out there and bank on the poor level of suffistication of there nation states for an excuse not to have attain certain rights amongst other producing nation. If we are to look at it from the side that place policies to be either helpful or feared towards harm. Can we say, the policies helps as to its purpose ?

This kind of answers itself, as to why some goods doesn't make it to the international market. It doesn't meet the standard required plus, there have to be an increased demand for such goods to be very much regarded. On the part of production, its very much dependent on a nation.

Divisive Power of Exchange in the International Market is the process in which how the international trade is structure to favour the West (Europe and America) and making the African countries to underdeveloped.

African Nations are underdeveloped because of "Globalization" and the following concepts or key terms explain the reasons:

1.A.  The nature of post-colonial economy: The Post-colonial economy is disarticulated such a  way that, there is  no forward and no backward.

B. Market imperfection: African Goods are substandard therefore are not allowed to showcase in the international market. E.g. Garri, and Trained Cat Fish etc. So, it is foreign domination economy (Eurocentric Economy).

C. Dependency: Africans are to receive the final production of any goods and services from the foreign counterpart. Africans are not allowed to produce but it allows to provide the raw materials to exchange finished product or goods.

2. The Nature of Policy formulations. The Financial institutions in the world (International Monetary Funds,  and World Bank) formulated the policies that making the African States currencies inferior. It is foreign donor.. They loan the African countries and the African Nations pay
these loans and can't develop their own countries.

Conclusion: There is divisive power of exchange in the international market system.
What Africans Provide (Raw Materials  for the exchange is better than what they received.