Trade is done by a resident of a country with a resident of another country on the basis of mutual agreement. The intended population may be either an individual (individual with an individual), between an individual with a government of a country or a government of a country with another government. In many countries, International trade is one of the main factors to increase GDP (Gross Domestic Product). Although international trade has been going on for thousands of years, its impact on the economic, social and political interests has only been felt in recent centuries. The five purposes of International trade are as follows.
Given the differences that are owned by the state one with other countries then as a country that exports goods to other countries, the goal is to raise the country's foreign exchange. If we can raise the country's foreign exchange then the impact of it is.
a. Economic growth
Economic growth is the increase of gross national product of income in a country. Gross National Product (GDP) is usually produced by factors of production belonging to citizens of both domestic and overseas citizens, citizens not included in it even though he lives in the country.
b. Influence the price stability of goods exported
The stability of prices here is to keep prices from the government when the inflation rate starts to rise. Inflation is an increase in the money supply causing price increases. So in this case the government is tasked to keep stabilizing prices amid rising inflation with the exports made by the country itself.
c. Existence of labor
The existence of manpower is indispensable for the workforce because they are the perpetrators who launch all actions that are mutually sustainable. With the growth of the economy, the exporting company will be flooded with product orders, so that the existing workforce can not afford to do it all so that new recruitment of workers is required to complete the export order very much. This is very beneficial to each other.
hopefully useful for all of us, may trade remain the way.
