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introduction
chapter 1
the international economy
globalization of economic activity
waves of globalization
first wave of globalization: 1870-1914
second wave of globalization: 1945-1980
new wave of globalization
foreign competition and the u.s.atrro industry
the united states as an open economy
why is globalization important?
competition in the world steel industry
common fallacies of intemational trade
what makes a company "american"?
international competitiveness
firm (industry) competitiveness
a nation's competitiveness
globalization and competitiveness
has globalization gone too far?
the plan of this book
.summary
study questions
part 1: international trade relations
chapter 2
foundation5 of modern trade theory
historical development of modem trade theory
the mercantilists
why nations trade: absolute advantage
why nations trade:comparative advantage
where does u.s. comparative
advantage lie?
comparative advantage in money terms
production possibilities schedules
trading under constant-cost conditions
constant costs
basis for trade and direction of trade
production gains from specialization
consumption gains from trade
distributing the gains from trade
complete specialization
productivity and comparative advantage
changing comparative advantage
trade restrictions
trading under increasing-cost conditions
increasing costs
increasing-cost trading case
partial specialization
comparative advantage extended to many
products and countries
more than two products
more than two countries
summary
study questions
chapter 3
international equilibrium
indifference curves
equilibrium in the absence of trade
a restatement: basis for trade,gains from trade
equilibrium terms of trade
theory of reciprocal demand
terms-of-trade estimates
summary
study questions
chapter 4
trade model extenslons and applications
factor-endowment theory
factor-price equalization
trade and the distribution of income
the heckscher-ohlin theory:u.s.--china trade
does trade make the poor even poorer?
explaining wage inequality
evidence on wage inequality
policy implications
are actual trade patterns explained by the
factor-endowment theory?
economies of scale and specialization
theory of overlapping demands
lntraindustry trade
product cycles
pocket calculators and the international
product cycle
dynamic comparative advantage:industrial policy
summary
study questions
chapter 5
tariffs
the tariff concept
types of tariffs
specific tariff
ad valorem tariff
compound tariff
smuggled steel evades u.s. tariffs
effective rate of protection
tariff escalation
production sharing and offshore-assembly
provision
postponing import duties
bonded warehouse
foreign-trade zone
tariff welfare effects: consumer surplus and producer surplus
tariff welfare effects: small-nation model
calculating the welfare effects of
a tariff
tariff welfare effects: large-nation model
preserving a production worker's job
tariff examples
lamb tariffs fleece u.s. consumers
motorcycles
japanese luxury cars
who pays for import restrictions?
effects of eliminating import tariffs
how a tariff burdens exporters
arguments for trade restrictions
job protection
petition of tim candle makers
protection against cheap
foreign labor
fairness in trade: a level playing field
maintenance of the domestic standard
of living
equalization of production costs
infant-industry argument
noneconomic arguments
summary
study questions
chapter 6
nontariff trade banters
import quota
trade and welfare effects
allocating quota licenses
sugar import quotas
quotas versus tariffs
tariff-rate quota: a two-tier tariff
orderly marketing agreements
steel-using industries oppose
restrictions on steel. imports
export quota effects
japanese auto restraints put brakes on
u.s. motorists
domestic content requirements
subsidies
how "foreign" is your car?
domestic subsidy
export subsidy
dumping
forms of dumping
international price discrimination
antidumping regulations
other nontariff trade barriers
government procurement policies
social regulations
sea transport and freight restrictions
summary
study questions
chapter 7
trade regulations and industrial policies
smoot-hawley act
reciprocal trade agreements act
general agreement on tariffs and trade
the gatt system
multilateral trade negotiations
world trade organization
settling trade disputes
does the wto reduce national
sovereignty?
does the wto harm the
environment?
a new round of trade negotiations
for the wto
the battle in seattle
from seattle to doha
trade promotion authority
(fast-track authority)
the escape clause
bush's steely pragmatism
countervailing duties
lumber quotas hammer home buyers
antidumping duties
the prevalence of antidumping action
remedies against dumped and
subsidized imports
section 301: unfair trading practices
europe slips in banana dispute
protection of intellectual property rights
trade adjustment assistance
will wage insurance make free trade
more acceptable to workers?
industrial pohcies of the united states
export promotion and financing
industrial policies of japan
has industrial policy helped japan?
strategic trade policy
imperfect competition and government
subsidies
welfare effects of strategic trade policy
economic sanctions
factors influencing the success of
sanctions
summary
study questions
chapter 8
trade policies for the developing nations
developing-nation trade characteristics
trade problems of the developing nations
unstable export markets
worsening terms of trade
limited market access
fair-trade movement helps poog coffee farmers
call for a new international economic order
generalized system of preferences
stabilizing commodity prices
production and export controls
buffer stocks
multilateral contracts
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