The significant expansion of worldwide trade in the aftermath of the Second World War was primarily attributed to the remarkable decrease in transaction costs facilitated by technological breakthroughs. Among the most notable of these advancements was the development of commercial civil aviation, which enabled faster and more efficient transportation of goods across long distances (Ortiz-Ospina et al., 2023). Open trade fosters a global exchange of technological advancements, allowing businesses to thrive in an era of innovation. By opening markets, businesses can become more productive and innovative, leading to a competitive edge. Studies show that firms that are most affected by Chinese imports are more likely to innovate, leading to increased efficiency. The increased innovation within these firms, which can be attributed to the exposure to Chinese imports, led to the adoption of new and existing technologies that further increased their efficiency (Ortiz-Ospina et al., 2023). Open trade can allow businesses to advance and progress by increasing innovation and efficiency. Technological advancements were pivotal in enabling global trade growth and paved the way for today's interconnected global economy.…show more content… Engaging in trade, whether through exporting or importing goods and services, impacts the promotion of global peace and stability. By fostering economic interdependence, countries become less reliant on military strength and more reliant on cooperation and collaboration. This reduces the likelihood of conflicts and tensions between nations as they work towards a common goal of economic growth and mutual
