MIME-Version: 1.0 Content-Location: file:///C:/95861CD1/SawyerReviewguide1.htm Content-Transfer-Encoding: quoted-printable Content-Type: text/html; charset="us-ascii" Review guide: EXAM 1: International Economics, Fall 2001;

Review guide:  EXAM 1: International Economics

Dr. Bob Horn

 

 

I.       Basic Economics Review:

        &= nbsp;          Producti= on possibilities supply and demand, opportunity costs, etc.<= /p>

        &= nbsp;          Trends in globalization

 

II.      Why countri= es Trade     <= /o:p>

        &= nbsp;          Roundabo= ut Means to Wealth

        &= nbsp;          Mercanti= lism and the Classical Economists

        &= nbsp;          Absolute Advantage

        &= nbsp;          Comparat= ive Advantage

        &= nbsp;           &nbs= p;        Basic Ricardian Model

        &= nbsp;           &nbs= p;            &= nbsp;    Assumptions

        &= nbsp;           &nbs= p;            &= nbsp;    Measures of productivity

        &= nbsp;           &nbs= p;            &= nbsp;    Gains from trade

        &= nbsp;          production possibilities curve

        &= nbsp;           &nbs= p;        autarky

        &= nbsp;          terms of trade line

        &= nbsp;          pre-trade and post trade equilibr= ia

 

IV.     Hecksher-Ohlin (HO) or Factor Endowments trade model

        &= nbsp;          basic assumptions

        &= nbsp;          predictions and gains from trade

        &= nbsp;          diagram analysis

        &= nbsp;          comparison with the Ricardian model

        &= nbsp;          Leontief Paradox

 

V.      Intraindustry Trade Models    =

economies of scale

intra-industry<= /span> trade

        &= nbsp;          the product cycle model

        &= nbsp;         

VI.     Roberts, the Choi= ce --- required chapters.

        &= nbsp;          introduction and chapters 1 – 5.