ADVANTAGES OF INTERNATIONAL TRADE
- Source of Revenue: International trade is a source of revenue for nations of the world. Nigeria derives 90% of its
revenue from the sale of crude oil to other countries. Taxes can also be imposed on exported and imported
- Promotion of economic development: International trade helps countries to gain technical knowledge which accelerates economic developments e.g. farmers in Nigeria can now import tractors,
harvesters, etc. practice large scale farming.
- Provision of employment opportunities: As a result of international trade contacts, foreign investors can
establish firms in sister countries which will create employment opportunities for its citizens.
- It leads to international specialization: Through international trade, countries will specialize in the
production of goods for which they have comparative advantage over others. This will make prices of such goods cheaper.
- Increase in world output: countries specialize in goods and services in which they comparative advantage and where utilization of resources is made, world output will increase.
- Availability of variety of goods: Through foreign trade, wide variety of goods are made available. West countries can import cars, electronics, shoes and equipment etc. from countries. New products are for markets.
- Acquisition of skills and ideas: Through international trade, new ideas, skills and techniques can be acquired to improve the quality of goods services.
- It fosters closer international relationship: Foreign trade brings about prospects for peace in the world. There is familiarity, understanding, and harmony in the world when from different races trade together.
- Increase in standard of living: there is exchange of different goods services among countries, the standard of living increases. People can get what they need which they cannot ordinarily produce.
- Equitable distribution of national resources: Natural resources found in one country of the world through foreign trade.
153. FUNGAL DISEASES