Management

n 3 pages (not counting cover and references), compare and contrast the European and North American freight transportation systems, globalized trade, and global policy implications . Lastly, reviewing the future research, what part do you find interesting and why?
Submission Instructions: Please attach the assignment in Microsoft Word Format. Format your paper consistent with APA guidelines. See Supporting Materials for a student paper template. Provide a minimum of 3 in text citations with an APA Reference List.

ANSWER

North America and Europe Freight Transportation system, Global Policy implications and International Trade

Introduction

Globalization and global development have been influenced by the freight transportation system, international policies, and globalized trade. The establishment of economic markets by eliminating tax relief and cross-border barriers to passenger movement and relief to freight have been significant trends in Europe and North America over the last decade. In comparing and contrasting the North American and European freight transportation systems, global policy complications, and globalized trade, it is crucial to understand some differences and similarities. This paper will focus on comparing and contrasting the freight transportation system within Europe and North America and their global policy complication and globalized trade.

The freight transportation system

The freight transportation system between the two countries has been influenced by the convergence of modes, infrastructure, and technology. Europe and North America are two main markets known for import functions and advanced freight system. Most of the freight in the European countries is done through the land. Over the years, there has been growth in the number of goods being transported to and from the European countries, which has increased different modes of transportation, thus leading to the development of new modes of transport (Jean and Notteboom, 2015). The railway is one of the most important modes through which companies deliver goods. The difference between the two countries has existed in terms of network and intermodal rail terminals. North American transport policies have indicated that they rely on big bang approaches while European policy-making has relied on more incremental nature.

Europe has short distance freight rail service while North America has long-distance rail service. For instance, in Europe, companies opt direct delivery without using a distribution center, while in North America, there are many distribution centers. Even though both countries have similar modes of transport, North America has intensified tracks and cars while Europe has greatly focused on rail for freight service. North America’s transport system focuses on freight shipping while Europe has been established, with the target market being passengers. Railroad transportation in North America is not subsidized, while in Europe, it is minimally subsidized. The functional division levels of freight flow.

Global Trade

Europe’s major global trade is the EU, while the major global trade for North America is NAFTA. The similarity between the two trades is that there exists liberation for all the member countries( Appendini and Bislev, 2016). In both trades, there is the removal of trade barriers and quotas in all member States. The only issue is that they do this to improve trade for member states. Another major similarity between the two trades is that both agreements include a single approach between the states. The main variation between the two global trades is that NAFTA lacks supranational institutions prevalent in the EU. For instance, they have no court justice, commission, and excludes competition rules. The difference between the European Union and NAFTA is their scope. NAFTA has remained an economic agreement among three nations while the EU developed into a social, political, and territorial union among 28 nations.

Global Policy Implications

As trading partners, North America and European countries have remained global trade leaders in terms of exporting goods and services and foreign direct investments. The established transatlantic connection has altered the global economy, especially through building new standards on a universal scale. Additionally, North America’s and Europe’s global policy have set rules and precedents that other trading partners and trade blocks will have to trade with European and North American countries. Another main similarity in terms of global policy between Europe and North America is that they acknowledge nations’ sovereignty. In both regions, there is the globalization of capitalism. The effect of this is that the world’s politics is becoming more and more uneven, as seen due to the fall of particular unions and empires such as the Soviet Union. Europe and North America’s global policy implications are precise and obvious regarding commerce and trade linked policies. These universal policies enable the countries to require materials from other nations by creating a complete logistic supply chain.

Considerably, all these global policies need reliable coordination and connection among nations that are trading. North America has established NAFTA, while Europe has established the European Community, which has offered more resources to their nations (Peña and Durand, 2020). EC and NAFTA have illustrated many similarities, such as offering trade among the members’ states and expanding the preferential areas through globalized trade. The two trade blocks have differed on certain policy situations that have different implications for global trade. For example, North America has successfully pursued a TPP agreement separately from Europe.

Future Research

The research above has compared and contrasted the Europe and North America’s freight transportation system, global trade, and global implications. These have offered a good understanding of the various global aspects and how they work within the two regions. The most interesting part of all has been comparing the global trade between the EU and NAFTA. Future research should focus on North America’s and Europe’s global trade to improve both global trades’ understanding.

References

Appendini, K., & Bislev, S. (Eds.). (2016). Economic integration in NAFTA and the EU: Deficient institutionality. Springer.

Jean, R., & Notteboom, T. (2015). Comparative North American and European Gateway Logistics: The Regionalism of Freight Distribution. Institute of Transport and Maritime, 116-174.

Peña, S., & Durand, F. (2020). Mobility planning in cross-border metropolitan regions: the European and North American experiences. Territory, Politics, Governance, 1-18.