Question

state the meaning of two kinds of trade in external sector​

Answer 1

Answer:

The external sector is the portion of a country's economy that interacts with the economies of other countries. In the goods market, the external sector involves exports and imports. In the financial market it involves capital flows.

Economic features related to the external sector include:

Balance of payments

Current account

Capital account

Foreign direct investment

External debt

Exchange rate

Foreign-exchange reserves

International investment position

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