Business, Government and the Global Economy
Introduction and general concepts
- Introduction to the world trading system
- Trading patterns and trading flows around the world
- Commercial specialization around the world
- Trade comparative advantages and competitiveness
- Comparative advantage vs absolute advantages
The long run: growth trade inequality and development
- Introduction to long run growth
- Growth facts.
- Growth and inequality
- Growth industrial development and specialization
The Competitiveness of Nations. The Role of Technology
- The first obvious determinant of comparative advantages: technological differences.
- The Ricardian Model - the role of technology.
- The factors trade between advanced countries and poor countries.
The Competitiveness of Nations. The Role of Factor Endowment
- The second obvious determinant of comparative advantages: differences in factor endowment.
- The Hecksher Ohlin Model - the main determinant for comparative advantage and trade.
- The factors trade between labour abundant countries and capital abundant countries.
Trade and Market Size
- Dumping Case studies
- Resource Trade, Outsourcing, and Product Fragmentation
- Countries trade - factors of production.
- Movement of capitals.
- The key aspects of multinational firms and the problems associated.
Tariffs Taxes, And the International Trading System
- The tools and reasons for restricting trade (quotas, import taxes, export subsidies etc.)
- The international trading system and its reform
Gains from Trade Vs Pains from Trade
- Protectionism vs free trade
- Effects of trade policies on developing countries.
- The key factors that are preventing poor countries from reaping the full benefits of free trade.
Trade and the Current Account
- National accounting implications of a country trade surplus and or deficit.
- Link between the trade balance and lending and borrowing with respect to the rest of the world.
- New insight on the global financial crisis.
- By the end of the course students are expected to be able to:
- Analyse the determinants of competitiveness of nations
- Understand the functioning of the world trading system
- Understand the challenges of globalisation and market integration
- Understand the different viewpoints on the European debt crisis