Specialisation and trade, protectionism, the balance of payments, exchange rates, and globalisation.
Why countries trade
Countries specialise in goods they produce best and trade for the rest. Benefits of international trade: greater choice, lower prices, access to resources not available at home, economies of scale from larger markets, and exposure to competition that raises efficiency.
Viewing only
This content is free to read on superexams.com and cannot be printed or downloaded.
Read the full note — free
Create a free account to read this note in full. Every free account gets 2 complete revision notes — no card needed.