AFM131 Study Guide - Comprehensive Midterm Guide: International Financial Reporting Standards, Telecommuting, General Agreement On Tariffs And Trade

• School: University of Waterloo
• Department: Accounting & Financial Management
• Course: AFM131
• Professor: David H A

Document Summary

More customers globally, more global competition means more innovation, potential loss of jobs domestically. How the global market differs from domestic market: Why do countries trade? (1) to get goods that are not available locally (2) to sell excess production. Understanding key terms for international trade and the canadian experience. Favourable balance of trade: money inflow > money outflow; unfavourable balance of trade: money inflow < money outflow. Favourable balance of trade (trade surplus): e > i; unfavourable balance of trade (trade deficit): e < i. Export g/s country produces most effectively and efficiently, and import g/s country which they do not. Balance of trade: relationship b/t exports and imports. Balance of payments: difference b/t money coming into a country from exports and money leaving the country for imports, plus money flows from tourism, foreign aid, military expenditures, and foreign investment. Global trade: exchange of g/s across national borders. Multinational corporation: manufacture and market products in many different countries.