What is the reason why people tend to trade and why is this field that meaningful in present international economy?

Everyone of us had an occasion to exchange different products with another person. In a lot of cases we get rid of our money to our partners and we receive a commodity or service that aim is to fulfill our diverse requirements. On the other side, in some cases we also often exchange commodities in a form that was known some hundreds of years ago, when people tend to offer for example milk for materials to make clothes from.


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Created by: superscheeli
Taken from: http://www.flickr.com
The reason why people have been always interested in trade is related to the fact that, first of all, it has always been impossible for any human being on the Earth to fill diverse demands on his own. That’s the reason why, always there is a demand for cooperation (in different dimensions) with other people on our way to satisfaction. Another meaningful reason that is more related to economy and most basic theories is that some goods bought abroad can be cheaper than produced on our own or bought on local market. That’s the reason why, a lot of people in order to generate more savings are searching for such an option and seek for partners to cooperate with.

Another meaningful reason why we are able to be interested in the previously presented sector is that it extends our possibilities. Sometimes then there is some range of products that are unavailable on our local market. Nevertheless, we can find them abroad. In addition, due to the development of the infrastructure, transaction expenses are not that high, which also is a good incentive that makes trade be even more popular and intensified.

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