Question

Identify which of the following can be considered as international exchange of services.

• A. A bank account opened by an Indian citizen in the Bank of England
• B. Delivery of Australian cookies to India through Air India Courier Limited
• C. Booking of railway tickets through website for travelling from Sikkim to Maharashtra
• D. An Indian teaching another Indian student French online

Answer 1

Answer: (A), (B)

Delivery of Australian cookies to India through Air India Courier Limited

International exchange of services between countries is due to globlization. Opening a bank account by an Indian in another country is an example of exchange of banking services. Similarly, when Australian cookies are sent to India, there is an exchange of delivery or logistics service between the two countries. Therefore, two components are important: exchange of an intangible service and exchange between two different countries.