Weaknesses of Bretton woods Agreement

By | May 26, 2017

The Bretton Woods system of monetary system management created the rules for the commercial and financial relations among the world’s major developing nations. Until the early 1970s, the Bretton Woods system was effective in maintaining the standard or fixed exchange rates for the leading nations that had created it, especially the United Nations. Due to this fixed exchange… Read More »

United Nations Liner Code

By | May 25, 2017

The United Nations (UN) liner code was formulated to cover the following fundamental objectives and basic principles: The purpose of UN liner code is to facilitate the orderly expansion of world seaborne trade; The objective is to stimulate the development of regular and efficient liner services adequate to the requirement of the trade concerned; The objective is to ensure a balance of interests between suppliers and… Read More »

Notes on Central Warehousing Corporation (CWC)

By | May 24, 2017

Central Warehousing Corporation (CWC) a premier warehousing Agency in India, instituted during  1957 furnishing logistics support to the agricultural sector and is one of the largest public storage warehouse operators in India offering logistics services to a various group of customers. Central Warehousing Corporation (CWC) providing logistics support to the agricultural sphere is one of the largest public… Read More »

Functions of the SWIFT

By | May 18, 2017

Society for Worldwide Interbank Financial Telecommunications (SWIFT) functions as a worldwide financial messaging network. In such a network, financial messaging network. In such a network, messages are exchanged securely and reliably between banks and other financial institutions. SWIFT also markets software ad services to financial institutions, most of it is used on the SWIFT network and bank identifier codes… Read More »

Role of World Bank in International Financial Market

By | May 12, 2017

The World Bank Group consists of naturally the World Bank itself and the International Development Association (IDA), the International Finance Corporation and the Multinational Investment Guarantee Agency. Besides the World Bank Group, these are also multinational regional development banks for Latin America, Africa, and Asia. Though these are technically different from World Bank, their functioning is similar to… Read More »

Hecksher Ohlin Samuelson Theory

By | April 26, 2017

The Heckscher-Ohlin-Samuelson (HOS) theorem states that a country which is relatively abundant in labor will have a comparative advantage in the labor-intensive good and the relatively capital abundant country will have a comparative advantage in the capital-intensive good. Thus, it is the factor abundance rather than technology which determines the pattern of trade. The Heckscher-Ohlin theorem predicts the pattern of trade between countries… Read More »

Benefits of Trade Liberalization

By | April 17, 2017

The Major benefits of trade liberalization during a foreign trade for a country are: Liberalization gets a country’s markets enlarged and increased sales opportunities for its manufacturers and suppliers. Trade liberalization creates employment opportunities for many workers. It also makes consumers happy as they can now purchase things at lower prices due to healthy competition and have wider choices in products. The most… Read More »

Foreign Exchange Quotations

By | March 14, 2017

The foreign exchange quotations, meaning the way relative prices or rates are quoted fo trade between players in the foreign exchange markets. Foreign exchange quotations can be three types, they are: Direct Quotation Indirect Quotation and Cross rates Direct quotation: Direct quotation is the price of one unit of a foreign currency quoted in terms of the home country’s currency.… Read More »

What are the Objectives and Functions of International Monetary Fund (IMF)?

By | March 2, 2017

Objectives of International Monetary Fund (IMF): The first Article of the Fund’s charter laid down six objectives for the International Monetary Fund. These are: To promote international cooperation by providing the machinery for consultation and collaboration by members on international monetary issues. To facilitate the balanced growth of international trade and through this, contribute to high levels of… Read More »