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irina [24]
3 years ago
5

In 5-6 sentences, explain international trade. Be sure to discuss imports, exports, absolute advantage, comparative advantage, b

alance of trade, and balance of payments in your response.
English
1 answer:
Nady [450]3 years ago
3 0

International trade is the exchange of goods and services between countries. This kind of trade gives rise to a world economy, in which prices, or supply and demand, affect and are affected by global events. For example, political change in US could result in an increase in the cost of labor, thereby increasing the manufacturing costs for an Asian cellphone company based in Malaysia, which would then result in an increase in the price that you have to pay to buy the cellphone at your local mall. 

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