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Explain any three bases of international trade.

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Bases of International trade: (i) Difference in national resources: The world's national resources are unevenly distributed because of differences in their physical make up i.e. geology, relief soul and climate.(ii) Stage of economic development: At different stages of economic development of countries,...
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Bases of International trade:

(i) Difference in national resources: The world's national resources are unevenly distributed because of differences in their physical make up i.e. geology, relief soul and climate.

(ii) Stage of economic development: At different stages of economic development of countries, the nature of items traded undergo changes.

(iii) Extent of foreign investment: Foreign investment can boost trade in developing countries which lack in capital required for the development of mining, oil drilling, heavy engineering and plantation agriculture.

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International trade between one country and another depends on 1. The demand pull by the using country for a particular type of goods produced in another countryp like diamond, iridium etc 2. Stage of economic development of the importing country which is not yet at a stage technologically and industrially...
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International trade between one country and another depends on 

1. The demand pull by the using country for a particular type of goods produced in another countryp like diamond, iridium etc

2. Stage of economic development of the importing country which is not yet at a stage technologically and industrially to manufacture a particular type of goods-xerox machines, iPads etc

3. Availability of transport routes by land, sea or air, for no matter how strong is the demand or how under-developed the importing country may be trade will not take place.

 

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Comments

Teacher

International trade between one country and another depends on 1. The demand pull by the using country for a particular type of goods produced in another countryp like diamond, iridium etc 2. Stage of economic development of the importing country which is not yet at a stage technologically and industrially...
read more

International trade between one country and another depends on 

1. The demand pull by the using country for a particular type of goods produced in another countryp like diamond, iridium etc

2. Stage of economic development of the importing country which is not yet at a stage technologically and industrially to manufacture a particular type of goods-xerox machines, iPads etc

3. Availability of transport routes by land, sea or air, for no matter how strong is the demand or how under-developed the importing country may be trade will not take place.

 

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