International Trade Concepts: Theories and Practices

Item 12: International Trade

Trade is the international or global exchange of goods, products, and services between two countries (an exporter and an importer). Foreign trade is the exchange of goods and services between economic regions, such as the EU and America. Economies participating in foreign trade are open economies. This process of external liberalization began in the second half of the twentieth century, notably in the 90s.

Theory of Absolute Advantage

Proposed by Adam Smith (1723-1790),

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Banking Products and Services Explained

Banking Products and Services

Current Accounts

A current account is a cash deposit contract between a lender and a customer. The customer deposits money in a bank, and the bank holds the customer’s money, paying a low interest rate. The customer can access the money at any time.

Features of Current Accounts:

  • High liquidity: Customers can access their money at any time.
  • Access via checks or promissory notes.
  • Variety of services offered.
  • Low interest paid to the customer.
  • No passbook or physical record of
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Understanding Stock Market Transactions and Valuation

What is a Paid Share Issuance?

A paid share issuance is a capital increase where existing shareholders can buy a portion of the new shares in exchange for a cash payment (subscription value). For example, if a shareholder owns 100 shares and the company issues new shares at a 1:1 ratio with a subscription value of $5 each, the shareholder can subscribe to 100 new shares for a total of $500. They would then own 200 shares.

What is the Subscription Value of a Share?

The subscription value is the price

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Understanding Key Financial Statement Elements

Heritage Item Summary

Capital Paid (5.24.10.00)

Represents the shareholders’ capital fully paid into the company.

Revaluation Reserve (5.24.20.00 K)

Reflects profit distribution to shareholders, increasing the capital’s percentage value.

Sales Price in Stock (5.24.30.00)

Indicates the highest value obtained from share placement or earned from stock purchases.

Other Reserves (5.24.40.00)

Includes reserves not previously defined or created by specific laws impacting the company.

Retained Earnings (5.24.50.

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Spanish Manufacturing Competitiveness and Labor Market Trends

Spanish Manufacturing Competitiveness

Current Situation

The Spanish industry has shown resilience, increasing production at a higher rate than other developed economies within the EU. However, challenges persist in sustaining growth and balancing foreign trade.

Key Factors

  • Growth in industrial production mainly driven by increased labor productivity, especially in the first decade.
  • Since the mid-1990s, employment generation, fueled by immigration, has supported industrial growth, but productivity gains
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Industrial Design: From Idea to Market

No time to plan and develop a product design? Follow these steps:

  • Idea Generation and Selection: Brainstorming, critical thinking, and research are key. Consider new technologies and consumer needs.
  • Planning, Construction, and Redesign: Define characteristics, materials, and manufacturing procedures. Use CAD and create mockups and prototypes.
  • Testing and Distribution: Ensure functionality and make necessary changes.
  • Marketing: Promote the product to consumers.

Technical Industrial Design

A precise and

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