Unit 1.9

Question 1

What is international trade?

Answer 1

International trade is the selling and buying of goods to and from foreign countries

Question 2

Advantages of International Trade

Answer 2

Political Reasons: Government encourages international trade. This is beneficial because it leads to good relations with other countries

Increased Market and Profits= business can sell goods in higher quantities, leading to more profits

Question 3

Disadvantages of International Trade?

Answer 3

Increased production may require investment and recruitment of more staff. This is disadvantageous because this will reduce the overall profits