| | + | [[File:Money-laundering-map-Artboard 1.png|right|450px|thumb|Red arrows: purchase and flow of used cars in America to be shipped to Africa. Yellow arrows: cocaine smuggling from South America to the United States, Africa, and Europe; drugs were shipped to Africa along with the used cars. The used cars were recorded as being purchased at inflated prices, with cash from illegal drug sales in the United States deposited in bank accounts. Green arrows: the flow of cash back to Hezbollah in Beirut, with some freshly laundered cash sent back to America for purchase of more used cars.]] |
| | '''Triangular trade''' is a multilateral system of trading in which a country pays for its imports from one country by its exports to another. For example, in the later quarter of the 20th century the United States sold infrastructure services and military equipment to [[Saudi Arabia]], which exported oil to [[Japan]], which sold [[automobile]]s to the [[United States]]. The US ran trade deficits with Japan, while Japan ran a trade deficit with Saudi Arabia, and Saudi Arabia ran a trade deficit with the US. Conversely, the US ran a trade surplus with Saudi Arabia, Saudi Arabia ran a surplus with Japan, and Japan a trade surplus with the United States, thus a global trade balance was achieved. | | '''Triangular trade''' is a multilateral system of trading in which a country pays for its imports from one country by its exports to another. For example, in the later quarter of the 20th century the United States sold infrastructure services and military equipment to [[Saudi Arabia]], which exported oil to [[Japan]], which sold [[automobile]]s to the [[United States]]. The US ran trade deficits with Japan, while Japan ran a trade deficit with Saudi Arabia, and Saudi Arabia ran a trade deficit with the US. Conversely, the US ran a trade surplus with Saudi Arabia, Saudi Arabia ran a surplus with Japan, and Japan a trade surplus with the United States, thus a global trade balance was achieved. |