5 Questions
What are the principal factors that give rise to commercial exchanges?
The diversity in the distribution of natural resources, differences of human needs and wants, and division of labour along with comparative advantage.
What are the two main categories of trade within commerce?
Domestic trade (including retail and wholesale as well as local, regional and inter-regional transactions) and foreign trade (encompassing import, export and entrepôt/re-export trades).
What are aids to trade and what do they include?
Aids to trade are auxiliary commercial activities that facilitate trade. They include commercial intermediaries, banking and financial services, transportation, packaging, warehousing, communication, advertising, and insurance.
What does trade involve in addition to the exchange of goods and services?
Trade also involves the exchange of currencies, commodities, and securities in specialized exchange markets.
What is commerce and what does it consist of?
Commerce is the large-scale organized system of activities, functions, procedures, and institutions that contribute to the smooth distribution and transfer of goods and services. It consists of trade and aids to trade along the entire supply chain.
Test your knowledge of commerce with this quiz! Explore various aspects of large-scale organized systems, activities, procedures, and institutions involved in the distribution and transfer of goods and services. From producers to consumers, understand the key concepts and channels in commerce.
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