What is international trade? This video introduces the benefits and costs of international trade. You’ll learn about how international trade usually benefits consumers using the example of a country opening to trade coffee with the rest of the world. The exchange can be imports or exports. You’ll also learn about the costs of international trade. In our example, domestic sellers must now compete with sellers from around the world who offer cheaper prices, and not everyone will be able to compete. This explains why sometimes governments enact trade measures like tariffs to protect their domestic businesses.
Instructors, learn more at: https://federalreserveeducation.org/teaching-resources/economics/international-trade/international-trade-101
00:00 – Introduction
00:50 – Competition
02:00 – Supply and Demand
06:00 – Imports and Exports
07:37 – Tariffs
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#Economics #Teaching #Trade
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