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International trade
Every country in the world trying to meet their own needs. However, the efforts of each country
to meet its needs, sometimes not according to their ability. Therefore, both the developed and
developing countries need to work together. For example, Indonesia has not been able to
manufacture high-tech means of transportation, such as aircraft, ships, trains, and others.

For that Indonesia import of such goods from developed countries. In contrast, Indonesia is rich
in natural products and their ground, exporting raw materials to the developed countries.
that international trade is a trade that is made by a resident of a country with the population of
other countries based on mutual agreement.

There are two examples of international trade, namely exports and

1. Exports
is a form of trading activity in the sale of goods from abroad. Payment systems, the quality and
quantity of the goods, as well as other terms of the sale has been approved by both parties,
exporters and importers.

2. Import
Import is a trading activity as the purchase of goods or services from country to country.
These activities are carried out by persons or entities referred to importers. Import
activity can cause negative effects for the economy of a country. therefore, the State did
import restrictions to protect domestic producers.
Example: Indonesia bring in planes, trains, and ships from abroad for the purposes of
transportation in the country.

C. Impact of International Trade

International trade has positi and negative impacts for the countries involved. Well, here are the
impacts of international trade.
a. Positive Impact of International Trade
1) Strengthen the friendship between nations
Trade done between countries lead to mutual interests and friendship among the countries
2) Adding to the prosperity of the country
International trade can raise the level of state revenue. This is because the country has a surplus
of goods can be sold to other countries, so as to increase state revenues can increase the
prosperity of the country.
3) Increase employment opportunities
With the international trade, the amount of demand for goods in the export kegaiatan can be
increased, so that the exporters should increase the amount of production. Rising levels of this
production will expand employment opportunities.
4) Promoting the advancement of Science and Technology
The amount of competition in international trade may encourage producers to improve the
quality of their products. Therefore, this competition will encourage exporting countries to
develop science and technology so that the goods they produce has an advantage and be able to
compete with other goods.
5) Sources of cash income countries
International trade can increase a country's sources of foreign exchange. In fact, many countries
that depend on revenues from import and export of goods.
6) Creating efficiency and specialization
International trade can create specialty items. The countries involved in international trade does
not have to produce the goods - goods that are not needed. However, they only produce goods
and services efficiently compared to other countries.
7) Allow wider consumption for the population of the State
International trade can lead citizens to enjoy the goods with high quality standards and are not
produced domestically.
b. Negative Impact of International Trade
In addition to having a positive impact, their international trade also have negative impacts for
the countries involved. The negative impacts are as follows.
1) The international trade to create dependency for a country to another country.
2) Creates an unhealthy competition between countries - countries.
3) Causes industries - small industries that can not compete folded.
4) Potential consumption patterns that mimic public consumption developed countries.
5) Reduced private savings to invest. This is because people are becoming more consumptive.
6) Potential economic colonization by the more developed countries against a small country.
7) Turn off the domestic producers in producing goods or services.