Read the passage: A government hopes to promote a strong economy by letting companies operate freely. It eliminates business regulations, lowers taxes, and encourages companies to seek profits however they see fit.

Which type of economic system does the passage describe?

A. Command
B. Market
C. Traditional
D. Mixed

encourages; encourages; increases.

Explanation:

Trade can be defined as a process which typically involves the buying and selling of goods and services between a producer and the customers (consumers) at a specific period of time.

Basically, trade can be categorized into two (2) main groups and these are;

I. Import: this involves bringing in goods from a foreign country to sell in a different (domestic) country.

II. Export: it involves the sales of goods produced in a domestic country to a foreign country.

International trade can be defined as a process which typically involves the exchange of goods, capital, and services (economic transactions) between two or more countries.

Basically, an international trade involves economic transactions across international territories or borders in order to meet the unending requirements, needs, or wants of consumers.

Some of the advantages of international trade include the following;

1. International trade encourages economic growth within a country.

2. International trade encourages the specialization of goods and as such facilitating the production of quality goods.

3. International trade increases the types of goods and services available in different countries around the world.