Importance of international trade for economy.
Explanation of Solution
International trade is the exchange of goods and services between the countries. The international trade is very important for an economy as the international trade is based on the
In case of the US economy, the trade is not much important for the economy. This is because the US economy produces most of the goods and services required for the economy. Thus, the international trade shares for goods and services in the US economy are relatively small when compared to other economies. Thus, the trade is less important to the US economy and thus, the trade policies are less important.
International trade: International trade is the exchange of goods and services between the international borders. Thus, the sellers and buyers will be different countries under the international trade.
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Microeconomics
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