TRADE

I. Fill in the blanks

1. Latin America exports _______________.

2. Rubber and tin are found abundantly in ________________.

3. Industrial countries export ___________ to the less industrial countries.

4. Trade between countries is called ____________.

5. The European country which exports large amount of paper and wood pulp ___________.

6. Latin American countries import_____________.

7. African countries are the importers of ______________.

II. Match the following:

1. China – Middle Eastern countries

2. Oil – Mineral Ores

3. Paper – Silk

4. Africa – Malaysia

5. Tin – Canada

III. Choose the correct answer

1. Trade with in the country is called _________________.

a) Internal trade b) International Trade c) Open trade

2. Industrial raw materials are _____________ products

a) Primary b) Secondary c) Tertiary

3. Switzerland is famous for ____________

a) Silk b) Watchers c) Tea

IV. Answer the following

1. What is meant by bilateral and multilateral trade?

i) Bilateral trade is the exchange of commodities between two countries.

ii) Multilateral trade is the exchange of commodities between a number of countries.

2. What are the two main categories of commodities that enter into the world trade?

i) Primary products include cereals – fruits and other food items

ii) Cotton, Jute etc are also primary products.

iii) Secondary products are manufactured goods.

3. Why does trade occur?

i) Trade occurs because of surplus of goods in one place and the demand for the same in another place.

ii) The difference in the natural resources of countries forms the basis of trade between countries.

IV. Paragraph

1. How does climate affect the trade of a country?

i) Differences in climatic conditions result in different types of agricultural, animal and forest products.

ii) So difference in climatic conditions affect the trade of a country.

iii) Exchange of goods takes place between different climatic regions.

iv) For example Temperate regions supply softwood and dairy products.

2. Write a short on balance of trade

i) The difference in values between imports and exports of a country is referred to as the balance of trade.

ii) If exports exceed imports the country is said to have a favourable balance.

V. Detail

1. Discuss the factors that affect trade.

Uneven distribution of natural resources.

Differences in climate, geology, Soil, vegetation and minerals resources result in the exchange of goods.

Stage of industrial

Industrial countries export finished products to other loss industrialized countries.

Differences in Climate

i) Differences in Climatic conditions result in different types of agricultural, animal and forest products.

ii) So differences in Climatic conditions affect the trade of a country.

Differences in Population

i) People in different regions produce distinctive types of goods because of their long tradition of producing certain goods.

ii) Countries like china exports silk and Switzerland exports watches.

Transportation

Transportation play an important role in the development of trade. The development of roads. Oil Pipeline and so on in a country facilitate international trade by transporting a variety of bulky goods to the ports.

Government Policies

International trade is influenced by Political relationship. When the relationship  between countries is good, then there is more trade.

2. Give an account of the world’s major trading regions.

Europe

Europe is one of the most densely Populated and highly industrialized regions.

North America

The USA has the largest volume of trade together with Canada.

Latin America

This region covers the Caribbean Islands and central and South America countries.

All them export foodstuffs and raw materials and import manufactured goods.

Africa

African countries export minerals ores and tropical raw materials and import manufactured goods.

Asia

Asian countries are rich in raw materials and minerals and they export them.

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