What is the main reason for this?
Answer:
Afridi sahab you are actualy confused by %ages. to be involved in international trade means to participate in exports or imports. my friend US is the highest importer in the present world. so it means it is actively participating in International trade, Their 20% if compared with other countries my be 80 or 90% of their gdp.
onother fact that i will refer to you is that gdp is nowadays not important, its the real income which is important. i give you a question to think upon. If Pakistan and India are both using the same currency Rupee. and say both have a same gdp in one year i.e 250 but in Pakistan one apple cost 10 and in india one apple cost 25, this means that Pakistan has much higher production than India but gdp is same, now is gdp beneficial. i have an article on it, if you wish pls do contact me.
Because the consumers in the US and Japan buy a lot of their own products..other countries consumers can't afford to buy any products, therefore their export percentage is higher.. duh.
Two main reasons.
The first is that in many of those countries, the consumers can afford their own products, and thus there is less incentive to trade, as the other answerer noted.
The more important one though, is that US and Japan are mostly making things that are much less tradable, in the sense that they are intellectual property and services. NICs have much lower costs, and thus companies move there in order to take advantage of low costs that allow cheaper manufacturing, etc. Something rather advanced, but easy to put together, like a TV costs so much more to have a US worker do, so even though we can afford to buy it, if we made it, they would cost even more.
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