RSM100Y1 Lecture Notes - Lecture 8: Foreign Exchange Market, Protective Tariff, International Trade
31 Mar 2016
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Generates wealth by creating commodities for canadians and international customers (i. e. oil, natural gas, gold, etc o resources that businesses need to make their outputs. Differenteconomic/politicalenvironmento must change business plans to fit those requirements of different countries. Factors of production: operating abroad depend on: availability, price, quality of labour, natural resources, capital, and entrepreneurship. [factors of production o i. e. india -> many qualified computer scientists = many firms set operations here to take advantage, some outsourced to india (it and customer. Service jobs: allows to spread risk b/c different nations = different part of business cycle (demand might be different. Wal-mart has expanded into china brazil, becoming a global company: canada"s trade tied w us , and vice versao similar social/cultural viewso closeness helps for transportation, communication, cross border trade. = balance of payments deficit major canadian. Exports and imports: global economy > tril total gdp o canada"s: 1. 3 tr , us:
