This document discusses international business and trade. It outlines two main reasons states engage in international trade: economic and political reasons. Economically, states trade to benefit from absolute and comparative advantage as well as access to a greater variety of goods. Politically, trading states are less likely to declare war on each other and benefit from enhanced reputation and credibility as well as broader political alliances. However, states may also restrict trade for reasons like national security, protecting infant industries, or gaining economic advantage over other states. The document then defines international trade law and its importance in governing commerce between countries through establishing rules, dispute resolution processes, and trade agreements.