Realism and liberalism are two important ways to think about international trade. Each approach has different ideas about how countries act and how the world works.

Key Differences:

1. Core Ideas:

   • Realism says that countries mainly care about their own interests, safety, and power. They see trade as a way to become stronger and safer.
   • Liberalism believes in working together, depending on each other, and helping one another. It suggests that when countries have economic ties, it can lead to peace and stability.

2. Importance of Different Players:

   • In realism, the country (or state) is the main player in world affairs. Other groups, like businesses or organizations, don’t play as big of a role. Trade policies focus mainly on what the country wants.
   • On the other hand, liberalism understands that businesses and international groups can be very important in trade. These groups can change trading rules and economic decisions.

3. Thoughts on Trade Agreements:

   • Realists are usually cautious about trade agreements. They think countries might use them to gain an advantage. For example, in 2018, the U.S. put tariffs on China, which showed these concerns about economic power.
   • Liberals support free trade and agreements that involve many countries. They believe that working together reduces stress and leads to better results. For instance, global trade grew from $6 trillion in 2000 to over$18 trillion in 2021. This shows that trade can bring prosperity.

Economic Interdependence:

• According to liberalism, when countries rely on each other economically, it helps create peace. Studies show that countries that trade a lot are 40% less likely to go to war than those that trade little.

Conclusion:

In short, realism and liberalism have very different views on international trade. Realism is all about power and safety, while liberalism focuses on teamwork and benefits for everyone. Understanding these ideas is important when looking at how global trade works and how it affects relationships between countries.