Question

How can consumers and producers be benefited from ‘foreign trade' ? Explain with examples?

Answer 1

Consumers and producers be benefited from foreign trade as-:

>This will help them to import or purchase raw materials at cheaper rate.

>The processing of the raw material can be done in other country or region with cheaper labour.

>This will enhance the profit of producers and consumers.

Example-Many (MNCs) are a good example of this kind of foreign trade.

Thank you