International Trade Flashcards
1
Q
What are the 7 benefits of international trade?
A
exports earn income for the economy, imports increase choice, decrease price because of more competition, imports prevent domestic monopolies, allows all countries to access key resources, allows countries to specialize, prevents war and conflict because it promotes cooperation
2
Q
what are the patterns with the size of international trade
A
1:international trade has increased from 10% of global GDP 150 years ago to being 60% of global gdp 2:international trade has decreased in size over the last few 15 years. from around 60% to 52%. 3: there has been a growth in intraregional trade but not much interregional growth 4: trade in services has grown but it is still lower than trade of goods. 5:
