Aspects of International Trade - Essay Example

The other important concept I learned from this chapter is about the balance of trade. As these scholars exclaim, the balance of trade simply refers to the monetary difference between the value of exports and imports. It was of great benefit to me because it enabled me to know how countries engage in international trade.

It has positively impacted my mind. Therefore, if I become a policymaker, I now know the kind of strategies to use. For instance, in case of a deficit balance of payment, I will ensure that I formulate policies that can help to shield my nation from a deficit balance of payment (Sullivan and Sheffrin 462). Once I can ensure that the value of our exports outweighs that of the imports, I will be in a position of not only stabilizing my country’s Gross Domestic Product (GDP) but also increasing the quality of life in the country.