Contents1.Introduction (1)2. The gains of International trade to the involved countries………………….……1.3.The effect of international trade (2)4.Negative impacts of International trade (3)5.Conclusion (3)6.Reference (4)1.IntroductionTo start with the issue, it’s necessary to know what is International trade at the very first beginning. International trade refers to those transactions that including the exchange of any kinds of sources among nations. The most possibly trading content is those what a country did not produce while its citizens have the demand of it .The demand for such goods has finally becomes a big net all over the world. It’s called International trade in modern society. Ancient people tried many ways to exchange from others, and till now International trade is still one of the main form of communications.2.The gains of International trade to the involved countriesAs the case showed, it’s easier to get touch with other country’s leader in nowadays. People have more opptunity to communicate with others outside nationwide. In order to cater the citizens’ demand for goods, governing class has th e responsibility to find the right international trade partners to bring benefits to it’s own people. The case said that with the increasing investment in Cambodia, both side were pleased about the result, such as a decreasing percentage of unemployed (for Cambodia, the exporting country), a movement of domestic economy and a better social life environment (for Singarpore, the importing country). (Ecological Economics，2012)The gains from international trade were not only in economy, but also in culture area. The exchange of goods brings the communications of different lifestyle. People from both sides could have a better understanding of each other that could strengthen the relationships between countries.In addiction, the exchange of service and technology accelerates the less developed countries to become more competitive in the world. On the other hand, those technologies could be transferred into resources for the exporting countries in theaction of trading. This relationship could be easily revealed in the case.3.The effect of international tradeInternational trade is not a politic issue, it reveals in people’s everyday life. Try to imagine that you could buy a tasty American fruit just in a nearby supermarket, or use a advanced computer you just see in a Japanese movie. It is even impossible to get an iPhone if there is no International trade! In order to get those goods outside the country, it is important to develop domestic industries so that the country could get things that its citizens want. By trading to other countries, the opportunities of self-development becomes easier than before. Numerous resources could be imported, in the process; citizens could get a better education environment and catch up new technologies just by a click. One has more choices in life and work. The world was connected as a whole.GDP, a numbers shows the income of production in nation, is an effective way to evaluate a nation’s competitive power. While a country was involved into International trade, the creation of national output and income is defiantly important to it. This could directly influence the sense of citizens’ happiness and satisfaction. (Journal of Cultural Economics, 1999) A country develops its main industries could exchange more valuable source from other countries.International Trade also influences the relationships over countries. Cooperation was placed in the first stage. The import and export actions shows the how the relationships between areas. It contributes to world peace and area development, solves the shortage and surplus problems. The case tells that Singapore’s investment increase causes a corresponding raising import from Cambodia, so the investment in Cambodia is worth doing for Singapore.4.Negative impacts of International tradeIn many aspects, International trade plays a key role in social life, otherwise, there were negative impacts to a country .The most remarkable phenomenon is protectionism. Many countries charges a high tariff to the imported, as a result, the price of imported goods would be raise. When citizens were choosing what to buy, the cheaper home goods would possibly be their choice, and the International trade would be restricted, though domestic industries have got protected, it is harmful to the free market. At this point, Singapore has little protectionism and most import goods were duty-free in nation. Trading protection is not only a disaster in political communication, but also a disaster for the domestic industries. The development of native industries would be slow down or stopped. The consequence could separate in many fields.As mentioned above, protectionism is not fit to the principle of comparative advantages, while a phenomenon called dumping is also remarkable. Governments noticed that this phenomenon should be controlled in a rational level, many countries even set laws to punish those companies which dumping goods in others areas. Dumping would cause the importing country suffer from the unfair economic competition, many native labors would lie out from their positions, GDP may decrease and the development of the country would be limited (Smith Thomas, 1998) The negative impacts sometimes hide behind short-time benefit. Some laws works only in a very short period and then cause big problems. Refer s to Singapore’s attitude towards trade policy, there was little possibility to cause such negative result. An open market is always welcomed and safe in any situations.5.ConclusionHaving been pointed out so many views about International trade, and connecting tothe case given above, it is obviously to see that Mr. S.Iswaran’s trip to Cambodia would works well on strengthening two sides’ business ties. With a more frequent communication and an increasing investment in Cambodia, this kind of International trade could bring both economic and cultural benefits to the people from each side. As the statement said in the case, the rising data showing that two countries were enjoy the achievement from International trade. Singapore’s trade policy should be an example to other countries. Over International trade, a less development country could become a unit that dependent on itself. (Advanced International Trade, 2001). On the long run, it is believed that two countries would develop their advantages in the process as the business ties becoming more and more tight.ReferencesSmith, Thomas (1998)“The Addiction to Culture”. Paper presented on the biannual meeting of the Association for Cultural Economics International in Barcelona, June14–17,1998.Harken, P. (2010). The ecology of commerce: A declaration of sustainability. Harper Business.7（1），43-1Throsby, David (1999) Cultural Capital. Journal of Cultural Economics 23: 3-12(this issue).Tinbergen, Jan (1962)Shaping the World Economy: Suggestion for an International Economic Policy. Twentieth Century Fund, New York.Robert C. Fenestra (2001), Advanced International Trade.。