RSM100Y1 Chapter Notes - Chapter 4: Absolute Advantage, Business Cycle, Foreign Exchange Market
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Exports: domestically produced goods and services sold in other countries. Imports: foreign goods and services purchased by domestic customers. Basic factors of production to consider in other countries. India n universities have produced thousands of highly qualified engineers. Many companies set up operations in india to take advantage of this. Different nations at different stages of business cycle / development. 7. 2 billion people but only 1/6 live in well-developed country. Increase global business = increase ability to reach new groups of customers. Canada places 36th from top of population but 12th w/ per capita real gdp. Developing countries typically have higher gdp growth rates -- good opportunities for global business. Walmart = largest retail firm in the world. Canada & us trades mostly based on resource. Absolute advantage: having monopoly on making that product or able to produce the product at lower cost than any other country.
