TRADE - Coggle Diagram
why is international trade important?
econ growth & SOL would decline
w/out demand, domestic production, employment, income, business profitability, SOL would decline
gov gets funds for sale of minerals, less international demand & revenue
tourism, overseas students, multinational corporations
aus relies on import of goods
how does trade impact gov policy?
affects flow of g/s between countries, may be removing barriers
gov wants less international trade and creates policies that act as barriers
gov can remove barriers by changing policy to liberalise trade
restrict imports by increasing price to make less attractive to consumers
limits set on import volumes
financial incentives given to businesses to encourage exporting
why do countries trade?
more efficiency & innovation
growth & profit
less competition, more customers
more incentive to innovate
shipping customs & duties
domestic businesses suffer
pollution and more transport costs
countries allow import and exports with international partners
trade between specific countries without barriers