Saturday, May 4, 2019
International Trade and Financial Markets Assignment
International Trade and Financial Markets - concession ExampleFor instance, assume UK can experience vast harvest of grapes as compared to brazil. On the other hand, Brazil thrives in rubber production than any other country. The concept of comparative advantage, therefore, requires the UK to engage more resources in producing grapes. On the other hand, Brazil would better engage in the mass production of rubber. The dickens countries would, therefore, exportation their abundant products to the foreign markets. That is rubber would be exported to the UK and grapes would be exported to Brazil. The menti adeptd exchange process is referred to as the international trade, which is correct by trade policies (Suranovic 2012).Trade policies are rules that regulate the exchange of goods, services and other assets amidst two or more countries. Trade policies also encompass the tax rules, government incentives, and subsidies. The flow of goods, services, and other assets from one country to another is significant for the following reasons first, it improves economic and social ties between countries. Second, international trade avails a wide variety of goods and services for the consumers. It therefore, enhances the consumer sovereignty, which is the free will of the customers to consume products and services of their interest. Third, international trade improves a countrys economic performance among other importance. The paper seeks to present a critical military rank of the appropriateness of the trade policies in the United soil (Trade Policy 2015).The link between the United Kingdom and the international communities, specially the developing countries, is based on the following the export and import of goods and services between UK and the developing countries, the investments activities in the developing countries, relocation to and from development countries, and offering aid to developing countries. The goods exported to the UK from the developing countries in the year 2014
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