World Trade Game. Introduction
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- Abigail Matthews
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1 Wrld Trade Game Intrductin The aim f this game is t help the participants understand hw trade influences the develpment f a cuntry and t create interest and discussin abut the wrld trading system in an enjyable and nnacademic way. The earth is divided int tw parts: The ecnmically rich nrth (industrialised cuntries as the US, Japan and Eurpe) and the prer Glbal Suth (meaning Africa, Latin America and parts f Asia). There are many ways f explaining the differences between Nrth and Suth but ne thing is clear. The gap between rich and pr is becming bigger partly because f the wrld trading system we have tday which makes the Nrth richer at the cst f the Suth. The game will try t shw, thrugh the prductin f different paper prducts, hw the wrld trade wrks. Hw d cuntries interact? Wh are the winners? Wh are the lsers? Wh can play? The game can be played by anyne preferably ver the age f 14. The number f participants shuld be between 15 and 30, if the grup is bigger than that yu can run tw games at the same time. The rules are simple and the knwledge yu need t play is elementary. Time and place Yu need at least an hur fr the game including the discussin afterwards. The game can be used alne r as a part f a lnger educatinal prgram. Yu need a rm big enugh fr 6 grups with arund 4-6 participants in each grup. Each grup needs a chair fr each participant and ne table. There shuld als be space t mve arund between the grups. Preferably 6 grups divided int the 3 different categries (see belw). If yu use less than 6 grups make sure that the balance between 'technlgy' and 'raw material' stays the same. The game rganisers need a table, a blackbard, and sme spare pens, papers and 'mney'. 1
2 Equipment Fr 30 participants yu need: 30 sheets f A4 paper in the same clur 30 '100 $ ntes' 2 sheets f clured paper 2 tubes f glue 2 pairs f cmpasses 4 pairs f scissrs 6 rulers 2 triangles 14 pencils/ pens Grup Categries cuntry suggestins Categry A USA Japan Categry B India Brasil Categry C Mzambique Tanzania Number f Participant Distributed Resurces Resurce set A: 2 pairs f scissrs 2 rulers 3 markers 2 cmpasses 1 triangles 1 sheet f paper 6 '100 $ ntes' 4 pencils Resurce set B: 10 sheets f paper 1 sheet f clured paper 1 tube f glue 2 '100 $ ntes' Resurce set C: 4 sheets f paper 2 pencils 2
3 Ready t Play? All participants must be able t see the mdels f the prducts they are prducing (see belw). Draw the mdels n the black bard r n big sheets f paper. The game needs three rganisers: Tw bureaucrats in the Wrld Bank. The bank's jb is t quality check the prducts and write dwn all the depsits in the different bank accunts as well as adding 10% interest every 10 minutes. The game's facilitatr - UN. The facilitatr's rle is t lead the game, bserve hw things develp and smetimes change the develpment f the game by intrducing new elements. Because the facilitatr is als suppsed t lead the discussin afterwards it might be helpful t write dwn everything that happens; cmments, happenings etc. The Rules All prducts must have sharp ends, be cut by a pair f scissrs and have the exact size. When yu have prduced 5 examples f ne prduct yu can present this t the Bank. If the quality is gd enugh the amunt f mney yur prducts are wrth will be written dwn in yur bank accunt. Every 10 minutes the Bank will add 10% interest t the amunt f mney already in yur accunt. Yu are nly allwed t use distributed resurces and equipment. Yu are nt allwed t use physical frce r vilence. The facilitatr, wh represents the UN, will mediate in case f disputes between cuntries. Only what is already in yur bank accunt when the game ends cunts when the result is summarised. Instructins fr the facilitatr Explain the aim and rules thrughly. Answer questins but make it clear that yu will nt answer any questins when the game starts. Divide participants int 6 grups and give them their cuntries' resurces. In the beginning there will be cnfusin and yu'll get a lt f questins; "Why dn't we have any markers?", "What is the clured paper fr?" Remember nt t answer any questins. Make sure all the initiative cme frm the participants and nt frm yu. The prductin and trading may last fr minutes, all depends n hw interested the grups are, their activity and initiatives. 3
4 What t prduce? These are the 5 different prducts the grups can prduce. When yu have prduced fr example five triangles yu g t the bank fr quality check and if they are gd enugh yu will get $150 x 5 = $750 int yur accunt. Fr the Facilitatr (imprtant pints during and after the game): Ntice everything that happens The categry "A" cuntries will prbably start prducing gds at nce but they will run ut raw material (paper) quite sn. Then they will have t try and get hld f mre paper frm the ther grups. Because yu are the nly ne that can see hw the game really develps it is imprtant that yu ntice hw alliances and trade cnditins change thrughut the game. Use yur bservatins in the discussin after the game. Take ntes. Stimulate activity Smetimes the facilitatrs have t give additinal infrmatin and try t create new situatins. Sme f the infrmatin can be given t the whle grup while sme infrmatin will be given secretly t sme cuntries. Remember t infrm the bank abut all the changes yu make. Nt all the elements belw need t be implemented in the game. Yu have t see hw the game develps and hw much stimulatin is needed. 4
5 Sme examples: Price-changes n the glbal market After a while yu can change the price f sme prducts. That way the rich cuntries fr example will find ut that their cmpasses are nt as useful as they used t be. Frm this yu can draw parallels t the real wrld: When a cuntry finds ut that their technlgy is getting ut f date they usually sell it t prer, less develped cuntries. The prices can als drp if there is an verprductin f ne prduct n the market. (Like il prices in the mid 80's) Raw materials Yu can fr example give a bunch f papers t ne cuntry and then annunce fr "the whle wrld" that a new surce f raw material has nw been fund in this cuntry. The clured paper Tw f the grups have a clured paper and sme glue. They have n idea what t use it fr. This represents an unknwn natural resurce. Yu can make it knwn fr tw ther grups, e.g.: If yu stick a little piece f the clured paper n t yur nrmal prducts the price f thse prducts will increase 4 times. These tw cuntries will then start searching fr the clured paper and the glue. Because the cuntry that wns it desn't knw the value f it they might sell it really cheap. (Like Zambia sld the rights t explit and exprt cpper t Rhdes in the late 19th century.) Or they get suspicius and wn't sell it. Develpment assistance Yu might want t inspire a cuntry r tw by giving them sme ecnmic assistance frm the UN, with cnditinalities: 1/3 f what they prduce with UN supprt must be paid back t the UN. Yu can als supprt a cuntry with technlgy (e.g. a pair f scissrs). If yu decide t supprt a cuntry r ne f the rich cuntries start supprting a prer cuntry, this can be used later t discuss the mtives behind develpment assistance. Imprt taxes A grup f cuntries can make restrictins n trade with ther cuntries t prtect their wn interests. E.g. the EU have higher imprt taxes n treated gds than raw materials. A cuple f years ag the imprt tax n fresh pineapples was 9%, n tinned pineapple the tax rate was 32% while tax n pineapple-juice was 42%. This way the EU make sure that the Third Wrld cuntries keep n prducing and exprting primary gds. 5
6 Trade restrictins and sanctins Bth yu and the different cuntries can set up either multi- r bilateral trading restrictins r sanctins. Examples frm the real wrld: Suth Africa, Iraq, Cuba etc. Ideas fr discussin Fair trade Sme f the participants will prbably get accused f cheating. That gives yu the perfect chance t discuss mral issues and ethics in internatinal business. "It's nt fair!" Hpefully the participants will pint ut this fact quite early. After the game it is imprtant t use this statement and tgether try t find ut: What was nt fair abut the game? What des the game tell us abut the real wrld? Hw des it feel t be rich? Hw des it feel t be pr? Why is it s difficult t change an unfair system? Wh wns the wrld's natural resurces? Wh wns the wrld's technlgy? Try t mve the discussin frm describing hw the wrld is tday t hw the participants wuld like the wrld t be. Try als t make them discuss the mral respnsibility that ges with wealth. 6
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