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Question

how foreign trade is different from foreign investment?

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Solution

Dear Student



Foreign trade is the trade between different countries of the world. It consists of imports, exports . The inflow of goods in a country is called import trade whereas outflow of goods from a country is called export trade.
whereas

Flows of capital from one nation to another in exchange for significant ownership stakes in domestic companies or other domestic assets. Typically, foreign investment denotes that foreigners take a somewhat active role in management as a part of their investment. is foreign investment.



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