In The Pursuit Of Trade

Imagine you’re buying a car from Toyota, which is based in Japan.

In order for them to sell into the U.S., they must follow some certifications created and enforced by the government: Federal Motor Vehicle Safety Standards, Environmental Protection Agency, Department of Transportation, etc.

To enforce these certifications the government can:

  • Send a government agent wearing a black trench coat to audit.
  • Force a recall of the product.
  • Deny entry of items into the country.
  • Take legal action.

There are also voluntary certifications, often set by groups of experts across countries, like International Organization for Standardization (ISO), which when obtained signal a commitment to quality.

Side note: As you may have noticed “ISO” isn’t even an acronym but comes from the Greek word isos, meaning “equal,” to ensure uniformity.

This was just an example around cars with limited detail.

If you live in the U. S. it’s likely that around 60-70% of what you buy annually is internationally made.

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