Differentiate between international trade and international-00630
This subjective question is related to the book/course
vu cs403 Database Management Systems.
It can also be found in
vu cs403 Mid Term Solved Past Paper No. 3.
By international trade, we mean the exchange of goods and services between different countries.
International trade is the trade between two or more different countries. It is just the opposite of the trade that takes place within a country i.e. national trade.
Whereas International finance is concerned with, among other thing, the mobility of financial capital across countries, and the problems and opportunities this mobility presents indi-vidual countries with. It would not be too inaccurate (in present day context) to say that while international trade deals with the current account, international finance deals with the capital account of the BOPs. That said, issues like the choice of exchange rate regime and of modern-day balance of payments crises also fall firmly within the purview of international finance.
