Session 1, Pg. 105 - 10641 m 47 s
Trade means a commercial activity which involves exchange of goods, services, resources, capital, technology, know - how and more.
Like every other country, the geographical boundary of our country is determined. There are legal restrictions and sometimes prohibitions on crossing geographical boundaries of a country. Well, then have you wondered how we have a Korean refrigerator, Japanese TV in our homes, German cars on our roads, American tractors in our farms, UK made shoes and garments in our malls? Did you know that a huge part of the petrol and diesel that we use as fuel for our vehicles comes from Gulf countries?
In this course, we get to know that the activity of exchanging goods, services, technology etc. by a country across the geographical boundary is called international trade. Along with this, we will also understand some important aspects of international trade.
This course on Foreign Trade teaches us the concept of trade and its types, explores the differences between Domestic and International Trade, and also introduces some more concepts such as Balance of Payments and Concept of Exchange Rate.