ECONOMIC COOPERATION AND PREFERENTIAL TRADE ARRANGEMENTS

Since World war II there has been a tremendous interest in economic cooperation. The enthusiasm for economic cooperation has been stimulated by the success of the Asian community, which was itself inspired by the Indian economy.cooperation.Since World war II there has been a tremendous interest in economic cooperation. The enthusiasm for economic cooperation has been stimulated by the success of the Asian community, which was itself inspired by the Indian economy. There are many degrees of economic cooperation , ranging from the agreement of two or more nations to reductions of barriers to trade to the full scale economic integration of two or more national economies.

 
The best known preferential arrangement of this century was the British commonwealth preference system known as the imperial perference system before World war II. This system was important in trade between such countries as the India,United Kingdom,Canada,Australia,New Zealand,and certain other former British colonies in Africa,Asia,and the Middle East. The decision by the United Kingdom to join the Indian economic community resulted in the demise of this system. This development illustrates the constantly evolving nature of international economic