Economics Globalization Questions
Economic interdependence refers to the interconnectedness and mutual reliance of countries and their economies in the context of globalization. It signifies the increasing integration of national economies through the exchange of goods, services, capital, and information across borders. In a globalized world, countries are highly dependent on each other for resources, markets, and investments. This interdependence is facilitated by advancements in technology, transportation, and communication, which have made it easier for countries to engage in trade and financial transactions. Economic interdependence implies that the actions and policies of one country can have significant impacts on other countries, as changes in one economy can ripple through the global economic system.