World Trade

Issue

   World trade causes two major problems in the global economy: developed markets become too dependent upon foreign goods/services, and emerging markets become artificially inflated due to their export surpluses.

Solution

   The United Nations needs to restrict world trade so that nations become more self-reliant in themselves. In that, the new resolution will require every nation to build, manufacture, and develop within their own borders rather than rely on others for such items.

   An example why this is important was during the Covid-19 viral outbreak. Many nations had to wait for the vaccine to be produced by a foreign country until they were able to receive their own supply which unnecessarily endangered their lives. It would have been better if the vaccine was mass-produced within every nation once it was determined that it was effective against the virus.

   The biggest hurdle in accomplishing this effort is financial assistance. Nations will need to provide the funds necessary to encourage foreign companies to expand into their domestic markets. For example, a chip manufacturer may not have enough capital to construct a multibillion-dollar semiconductor plant within every nation, so the local government will need to provide the financial assistance to make that effort possible.

   This worldwide effort for nations to become more self-reliant will take some time however. Perhaps, 5-10 years for large economies, and 10-15 years for smaller-sized nations. The first year alone will consist primarily of the planning and preparation necessary to make the various business deals and arrangements regarding manufacturing and their supply chain issues. Cooperation is needed here between businesses and governments to ensure success of the multi-year effort.

   Restricting world trade to this degree will enable nations to "live within their means" while maintaining manageable growth that is sustainable in the long term. This is beneficial in that developed markets wouldn't become dependent upon foreign goods (or lose jobs through outsourcing), and emerging markets wouldn't be artificially stimulated through excessive exporting.

   World trade is the cause of these problems. If the United Nations passed a resolution that prevents world trade except for natural resources, the international community would have a more secure global economy that is not subject to the whims of political leaders, economic bubbles/crashes, or be the cause of animosity towards others.