International trade
What International trade means in Economics A-Level, as defined for AQA.
Definitions of International trade
Exam boards and our study guides word this term in slightly different ways. Learn the version your board uses.
Check what you remember
Read the wording for your board, then hide it and explain International trade in your own words. Rough notes are fine. This is a self-check, with no mark or grade.
Reference: AQA
A mechanism that promotes growth by allowing countries to exploit comparative advantage, increasing export revenues and integrating into global markets.
An engine for growth that allows countries to exploit comparative advantages, yet developing nations may suffer from volatile primary product prices.
The exchange of goods across countries, where a deficit on the current account can be corrected by lowering the demand for imported goods.
Activity for which fixed exchange rate systems provide certainty and reduce currency risk for firms.
The free movement of goods and services across borders, facilitated by reduced trade barriers.
Trade between countries that can be mutually beneficial when comparative advantages differ.
Topics that use International trade
- Economic growth and development (AQA A-Level)
- Exchange rate systems (AQA A-Level)
- Globalisation (AQA A-Level)
- The balance of payments (AQA A-Level)
- Trade (AQA A-Level)
Related terms
- Foreign direct investment
- Balance of payments
- Economic integration
- Globalisation
- Hot money flows
- Protectionism
- Appreciation
- Asymmetric economic shock
Using International trade in the exam
Check the command word and mark scheme for your exact question. After comparing your explanation with the reference, use the term in an answer on the linked topic. This practice does not predict an exam mark.
Practise Economics questions
Create a free account to answer exam-style questions on this topic and get feedback on your answers.
A week of Premium from your first lesson · Then the free plan continues · No card, no charge