markitect-main/examples/infospace-with-history/output/entities/direct-foreign-trade-of-consumption.md

Direct Foreign Trade of Consumption

Definition

A trade pattern where a country directly exchanges its own products for the products it desires from another country, without intermediate transactions through third parties or the use of precious metals as intermediaries.

Source Chapter

Book IV, Chapter 3

Context

Smith presents this as the most advantageous form of trade, arguing that England would benefit more from directly exchanging its hardware and cloth for French wines than through round-about routes involving tobacco or precious metals.

Economic Domain

Exchange

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