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INTERNATIONAL FINANCE
International finance is concerned with the mobility of financial capital across the countries, and the problems and opportunities this mobility presents the individual countries. It would not be too inaccurate in present day context to say that while the international trade deals with the current account and international finance deals with the capital account of the BOPs. The issues like the choice of exchange rate regime and of the modern-day balance of the payments crises also fall firmly within the purview of the international finance.
Q. What is the national income identity for a closed economy? Answer: Y = C + I + G.
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INTERNATIONAL TRADE can be understood as follows By the international trade, we signify the exchange of goods and services between different countries. For any individual count
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