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International Trade ∙
Internasionale handel
Session ∙ Sessie 8:

Economic and Management Sciences | EyeNzululwazi ngoQoqosho noLawulo | Ekonomiese en Bestuurswetenskappe

About government intervention

Oor owerheidsinmenging

Economic and Management Sciences | EyeNzululwazi ngoQoqosho noLawulo | Ekonomiese en Bestuurswetenskappe

Theme 2 •
Tema 2

3
Economic and Management Sciences | EyeNzululwazi ngoQoqosho noLawulo | Ekonomiese en Bestuurswetenskappe
 Theme 2

*
Tema 2

READER, PART III &

IV The African Continental Free Trade Agreement. What are the options for Africa to improve growth prospects
through increased trade?

Die Afrika Kontinentale Vryhandelsooreenkoms. Wat is Afrika se opsies om groei-vooruitsigte met behulp van
internasionale handel te verbeter?

4
What will I Learning Objectives Leerdoelwitte

learn in this Engaging with this sub-module content,

Deur gefokus deur die inhoud van die sub-
module te werk, behoort studente:
module? you will learn to:
 Understand the current economic conditions and the
 

die huidige ekonomiese toestande en hul implikasies vir

Wat gaan ek in
implications for economic growth and trade
prospects;√
 Gain insights from International Trade Theories that
hierdie module explain why international trade matters; √
 Understand why, how and to what effect
ekonomiese groei- en handelsvooruitsigte te verstaan; √
insig te put uit Internasionale Handelsteorieë wat
verduidelik waarom handel belangrik is; √
te verstaan waarom, hoe en met watter impak owerhede
in internasionale handel inmeng; √

leer? governments intervene in international trade; √

 *Understand the multilateral global trading system
and how it advances trade amongst countries;
 Understand regional integration, its purpose,
possibilities and obstacles;
*die multilaterale handelsregime en hoe dit internasionale
handel bevorder, verstaan;
streeksintegrasie, die rationale, doelstellings, moontlikhede
en struikelblokke daarby betrokke, te verstaan;
die insigte uit die handelsteorieë te benut om te verstaan hoe

* today.  Use the insights from theory to understand how the

confluence of freer trade under the World Trade
Organisation’s Trade Facilitation Agreement, the African
die samevloei van vryer handel onder die
Wêrelhandelsorganisasie se Handelsfasiliteringsooreenkoms,
die Afrika Kontinentale Vryhandelsooreenkoms en die Vierde

vandag Continental Free Trade Agreement and the Fourth

Industrial Revolution can propel Africa into economic
prosperity, despite many obstacles and the Covid-19
Industriële Revolusie Afrika kan help om ekonomiese welvaart
te skep, tenspyte van verskeie hindernisse en die Covid-19
pandemie.
pandemic.

5
 Theme 2: key issues
Barriers to trade are removed under the
auspices of the World Trade Organisation.
How could Africa benefit from participation in
Content: the World Trade Organisation?
International
Regional integration also aims to remove
barriers to trade to encourage intra-regional
trade.
Trade. What is the African Continental Free Trade
Agreement and what is it aimed at achieving?
* What is the Fourth Industrial Revolution and
how can Africa benefit from it?
Inhoud: What are global supply chains and how can
Africa benefit from it?
Internasionale
What is the role of women in trade and how can
Handel
their prospects be enhanced?
READER: Jafta & Semenya, PART III & IV
Tema 2: sleutel vraagstukke
Beperkings op handel word onder die
Wêreldhandelsorganisasie (WHO) reëls opgehef.
Hoe kan Afrika baat vind by lidmaatskap van die
Wêreldhandelsorganisasie?
Streeksintegrasie het ook ten doel om
handelsbeperkings te verwyder ten einde intra-
streekshandel te bevorder.
Wat is die Afrika Kontinentale
Vryhandelsooreenkoms en wat probeer Afrika
daardeur bereik?
Wat is die Vierde Industriële Revolusie (VIR) en hoe
kan Afrika daaruit voordeel trek?
Wat is globale voorsieningskettings en hoe kan
Afrika daarby baat?
 
Wat is die rol van vroue in handel en hoe kan hul
vooruitsigte verbeter word?
READER: Jafta & Semenya, PART III & IV
6
 The
multilateral
trading system

*
Die
multilaterale
handelsregime

Today it is the rule-based system under the WTO; what was it before?
Vandag is dit die reëlsgebaseerde stelsel onder die WHO; wat was dit voorheen? 7
 Today’s session: Q2.1. Why was the WTO and its
predecessor, the GATT established?
The multilateral trading system:
past & present [6]
*
Vandag se sessie:
Vr. 2.1. Waarom is die WHO en sy
die multilaterale
voorganger, die Algemene Ooreenkoms
handelsregime: verlede en op Tariewe en Handel (AOTH) gestig?
hede
[6]
READER, pp.43-53

Test yourself: complete Q.2.1.& 2.2. Toets jouself: voltooi Vr. 2.1.& 2.2. 8
Without the GATT / WTO
The effect of protectionism on world trade, 1929–33
January
December 1929 $3.0bn February
1930

1931

November 1932 March

1933

October $0.9bn April

September May

August June

July

Trade figures: per month

 Today’s session:
The multilateral trading system:
past & present
*
Vandag se sessie:
Die multilaterale
handelsregime: verlede en
hede
READER, pp.43-53
Q2.2. Explain what the WTO’s Trade
Facilitation Agreement is, how it works what
progress has been made with
implementation so far. [12]
Vr. 2.2. Verduidelik wat die WHO se
handelsfasiliteringsooreenkoms is, hoe dt
werk en watter vordering met
implementering reeds gemaak is.
[12]
10
 “Trade facilitation is geared
towards the simplification of
import and export procedures with
the overarching aim of reducing
transaction costs. It also
emphasizes transparency of
procedures, harmonization and
modernization of international
trade procedures. The Trade
WTO’s TFA Facilitation Agreement (TFA),
* which entered into force on 22
Die WHO se February 2017, is an agreement
designed to cut trading costs by
handelsfasiliterings- implementing processes that are
ooreenkoms more efficient and eliminating
unnecessary obstacles before
READER, p.50-53 export or import clearance at
borders” .

How the TFA works • Hoe https://www.wto.org/english/tratop_e/tradfa_e/tfa_factsheet2017_e.pdf

die HFO werk, p.51
 WTO’s TFA: the logic
*
Die WHO se
handelsfasiliterings-
ooreenkoms: die logika
 WTO’s TFA: progess (1)
*
Die WHO se
handelsfasiliterings-
ooreenkoms: vordering (1)

READER, p.50-53
NOTE: the progress with ratification &
implementation since eBook
publication: https://tfadatabase.org/
 WTO’s TFA: progess (2)
*
Die WHO se
handelsfasiliterings-
ooreenkoms: vordering (2)

READER, p.50-53

Source • Bron: World Bank

“More than ever,
international trade should
be an instrument of peace
and environmental
improvement. With trade
among continents going
together with the mobility
of workers, the exchange of
talents and the rise of
innovation and
productivity”.

Mathieu Maes, Brussels,

2020

15
 Invitation
*
uitnodiging
Registration link for
reference: 
https://us02web.zoom.us/webi
nar/register/WN_uJPtCDASSt2
WkNk52qFa9w

16
Clicker 3
Results

Number of Responses

Group 1 Group 2
16 31

17
Clicker 3: Group 1
Question: If I did not have to come to Economics 244 lectures during the week of 22-26 August, I will:

18
Clicker 3: Group 2
Question: If I did not have to come to Economics 244 lectures during the week of 22-26 August, I will:

19
Week 22-26 August Week 22-26 Augustus

No lectures Geen lesings

NB. LW.
1. Tutorials and tutorial tests as normal 1. Tutoriale en tutoriaaltoetse soos normaalweg
2. Your complete answers to Q1.1 -1.15 must be 2. Jou volledige antwoorde vir Vr1.1-1.15 moet teen
uploaded on SUNLearn by noon on 26/08/22 middag 12h00 op 26/08/22 op SUNLearn gelaai word.
3. International Trade lectures recommence 29/08 3. Internasionale Handel lesings hervat 29/08
4. Contacts: 4. Kontakte:
For tuts: Vir tuts:
• Mnchake@sun.ac.za (English) • Mnchake@sun.ac.za (Engels)
• Hessop@sun.ac.za (Afrikaans) • Hessop@sun.ac.za (Afrikaans)

Teaching Assistants Onderrig Assistente

• Van Voore, CP, Ms [21160031@sun.ac.za][Group 1] • Van Voore, CP, Ms [21160031@sun.ac.za][Groep 1]

• Petersen, RR [20784538@sun.ac.za][group1] • Petersen, RR [20784538@sun.ac.za][groep1]
• Hyde, AJ, Mr [23365935@sun.ac.za][group 2] • Hyde, AJ, Mr [23365935@sun.ac.za][groep 2]
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Economic and Management Sciences | EyeNzululwazi ngoQoqosho noLawulo | Ekonomiese en Bestuurswetenskappe
 Removing barriers: regional Opheffing van beperkings:
integration streeksintegrasie
Q2.3.What does economic
Next session integration mean?
[2]
Vr. 2.3. Wat beteken ekonomiese
integrasie? [2]
* Q2.4. When is economic Vr.2.4 Wanner word ekonomiese
integration called regional
Volgende integration? [1]
integrasie streeksintegrasie genoem?
[1]

sessie Q2.5.Use examples to distinguish

between the static and dynamic
effects of regional integration.
[10]
Q2.6. What is the African
Continental Free Trade
Agreement and what is it aimed at
achieving? [10]
Vr.2.5. Gebruik voorbeelde om
tussen statiese en dinamiese effekte
van streeksintegrasie te onderskei.
[10]
Vr.2.6. Wat is die Afrika Kontinentale
Vryhandelsooreenkoms en wat
probeer Afrika daardeur bereik?
[10]

21