What does international interdependence refer to?

International interdependence refers to the reliance of one country on another for goods and services. This concept highlights the interconnectedness of global economies, where countries depend on each other for resources, products, and markets. International interdependence occurs due to factors such as trade agreements, globalization, and the specialization of production, allowing nations to obtain what they cannot efficiently produce themselves while also providing their own goods and services to others.

While self-sufficiency in goods represents an opposite concept to interdependence, as it emphasizes a country's ability to meet its own needs without external assistance, a trade surplus focuses on the economic outcome of defining successful trade relationships rather than the relationship itself. Furthermore, isolationist economic policies denote a strategy where a country seeks to minimize its participation in international trade, again contrasting the essence of interdependence. Understanding this dynamic helps to appreciate how collaboration and economic relationships shape global commerce and diplomacy.