African Journal of
Business Management

  • Abbreviation: Afr. J. Bus. Manage.
  • Language: English
  • ISSN: 1993-8233
  • DOI: 10.5897/AJBM
  • Start Year: 2007
  • Published Articles: 4194

Full Length Research Paper

Trade development trend between Islamic republic of Iran and Azerbaijan republic

  H. Alipour1*, A. Norieva2 and Moosa Rezvani3        
  1Ph.D, Department of Management, Islamic Azad University Rasht Branch, Iran, 2Professor in Economy, AZ, MEA. 3Islamic Azad University Astara Branch, Iran.
Email: [email protected]

  •  Accepted: 16 July 2009
  •  Published: 31 October 2009

Abstract

 

International trade theory had been  evolved by Ricardo and Hecksher , Ohlin and Sam Delson, gradually and regularly. According to relative superiority Act, trade between two countries can suitable mutually and this state is even true when one of these two countries is less efficiency in total productions of goods and services. According to this theory, country which has less efficiency must specialize in exporting and production of goods and services which its lack of relative excellence about them is less and instead it must import the other goods and services. In fact, one country frequently exports products and services which its production largely depends to relatively abundant and less expensive product factors (labor, capital, technology skill) available in that country. This theory also state that as proving to be true entirely suppositions, International trade causes to desirable and optimize distribution of in come and labor price and capital among countries will tend to equality.

 

Key words: Azerbaijan, exports, imports, international trade, Iran, non-oil goods.