Question

What are the reasons for growing popularity of international trade in the Modern times? Give any 6 reasons.​

Answer 1

Answer:

Explanation:

Reduced dependence on your local market. ...

Increased chances of success. ...

Increased efficiency. ...

Increased productivity. ...

Economic advantage. ...

Innovation. ...

Answer 2

Explanation:

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What are the reasons for growing popularity of international trade in the Modern times? Give any 6 reasons.

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(1) Production

• It is not possible for a single country to produce equally at a cheap cost.
• That is why international trade is taken into account.

(2) Factors of Production

• Factors of production like labour, capital raw material,
• For producing goods & services which are available at different rates in different countries.

(3) Cost of Production

• Each country finds it advantageous to produce only those goods & services
• That it can produce efficiently.
• Rest of the activities is rest to other countries at a lower cost.

(4) Utilization of raw materials

• Some countries are naturally blessed with an abundance of raw materials, for example, Qatar for oil, Iceland for metals and fish (Iceland), etc. Without international trade, these countries would never benefit from their natural resources or raw materials.

(5) Greater choice for consumers

More international trade results in more choices of products.

(6) Resources Distribution

• Many of the times companies face problems in the availability of natural resources.
• There is an unequal distribution of the resources in the country.

❥Examples

• Different countries are specialized in different sectors like
• In India, Maharashtra is involved in textiles, West Bengal in jute products, Haryana and Punjab in food products, Kerala in spices, etc.
• Same is categorized for other countries.