Australia has always been very successful when it comes to their international relationships. This success has had follow on effects for the Australian economy in many sectors, especially those involving the levels of world trade and investment. Australia has now moved away from the conventional distinction between world trade and investment and since doing this they have become a competitive presence on the world market. Australian companies are like any other foreign companies, they trade to invest and invest to trade. While the world has evolved into and developed over the past 10 years an extensive and invariable body of common rules to govern international trade, overseas investment remains subject to a variety of rules contained in hundreds of investment treaties, other commercial arrangements and a few world trade organisation (WTO ) agreements. These have a significant bearing on the level of world trade and investment Australia receives, and in doing this they also have relative affects on the Australian economy.

Leading up to the 1980's Australia had had a dramatic deterioration in its trade performance in relation to

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Approximate Word count = 967
Approximate Pages = 4 (250 words per page double spaced)