Three cheers for Nirav. He has asked a thoughtful, philosophical question.
if we say that trading is a business then like other business in which main objective of the business man is earn profit but at the same time he produce something which is needed by the people, but in trading only trader get the profit and no one else is benefited. So can we call it as a business?
My Notes: Nirav asked this question since he wants to become a trader but cannot understand if his profession will serve a social purpose.
Nirav, I have thought on this subject many times. My conclusion is:
The world is changing. Manufacturing and Agriculture is no longer the primary business in most countries. It is services. Some services provide a direct benefit to consumers. For example: The car mechanic repairs cars and therefore immediately serves the customer. Some services provide indirect benefits. Trading is such a service.
Tradng provides liquidity to financial markets. Without liquidity financial markets will not work. Without financial markets, most business activities will come to a stand still. If there were no traders, there will be no trading. Then, where will the capital and liquidty come from? Now, most business activities have a good side and a bad side. Import-export is essential for the economy, but in another form it becomes smuggling. In the same way, trading can be distorted to actually harm the economy (we see this in the USA, and, in proprietory trading by some brokerages in Delhi) , but that means some traders are out of line. Trading serves a social purpose, like most other services.