What iš internal trade policy ? Define it's advantage and disadvantage
Answers
Answer:
Heyy mate!! Your answer is
International trade policy is a policy related to trading across national boundaries. A government establishes an international trade policy that encompasses actions they will take to protect the best interests of their citizens and companies
Advantages:-Increase in the exchangeable value of belonging, methods for happiness and wealth of each trading nation.
Disadvantages: - When a nation has bigger and persistent fares, her fundamental raw materials and minerals may get depleted, unless new assets are tapped or created.
I hope it might help you
Mark it as brainliest answer and please follow me
Answer:
International trade policy is a policy related to trading across national boundaries. ... Some of the major actions governments take are free trade policies or tariffs. Free trade policies encourage trade between certain countries.
Advantages of International Trade:
(i) Optimal use of natural resources:
International trade helps each country to make optimum use of its natural resources. Each country can concentrate on production of those goods for which its resources are best suited. Wastage of resources is avoided.
(ii) Availability of all types of goods:It enables a country to obtain goods which it cannot produce or which it is not producing due to higher costs, by importing from other countries at lower costs.
(iii) Specialisation:
Foreign trade leads to specialisation and encourages production of different goods in different countries. Goods can be produced at a comparatively low cost due to advantages of division of labour.
Disadvantages of International Trade:
Though foreign trade has many advantages, its dangers or disadvantages should not be ignored.
(i) Impediment in the Development of Home Industries:
International trade has an adverse effect on the development of home industries. It poses a threat to the survival of infant industries at home. Due to foreign competition and unrestricted imports, the upcoming industries in the country may collapse.
(ii) Economic Dependence:
The underdeveloped countries have to depend upon the developed ones for their economic development. Such reliance often leads to economic exploitation. For instance, most of the underdeveloped countries in Africa and Asia have been exploited by European countries.
(iii) Political Dependence:
International trade often encourages subjugation and slavery. It impairs economic independence which endangers political dependence. For example, the Britishers came to India as traders and ultimately ruled over India for a very long time.
(iv) Mis-utilisation of Natural Resources:
Excessive exports may exhaust the natural resources of a country in a shorter span of time than it would have been otherwise. This will cause economic downfall of the country in the long run.