Chapter 4: Technology: the classical approach

Slides:



Advertisements
Similar presentations
Tariff, general equilibrium
Advertisements

International Economics: Theory, Application, and Policy, Ch. 15;  Charles van Marrewijk, Figure 15.1 Joseph Schumpeter (1883–1950)
 Brakman, Garretsen, and van Marrewijk, 2008 Figure 9.1 Shares of world trade flows; merchandise trade, 2005.
 Brakman, Garretsen, and van Marrewijk, 2008 Figure 1.1 World Bank regional classification.
International Economics: Theory, Application, and Policy, Ch. 7;  Charles van Marrewijk, Figure 7.1 Bertil Ohlin ( )
International Economics: Theory, Application, and Policy, Ch. 17;  Charles van Marrewijk, Figure 17.1 Léon Walras (1834–1910)
Copyright © 2006 Pearson Addison-Wesley. All rights reserved. Chapter 1 Economics, Institutions, and Development: A Global Perspective.
Introduction Classical economics and comparative advantage Analysis of comparative advantage Production possibility frontier and autarky Terms of trade.
Tariffs, quota's, and other trade restrictions
INTERNATIONAL ECONOMICS: THEORY, APPLICATION, AND POLICY;  Charles van Marrewijk, 2006; 1 2 countries; A and B Comparative advantage (technology differences)
International Economics: Theory, Application, and Policy, Ch. 11;  Charles van Marrewijk, Figure 11.1 Jagdish Bhagwati (1934– )
International Economics: Theory, Application, and Policy, Ch. 2;  Charles van Marrewijk, Figure 2.1 Adam Smith (1723–1790)
INTERNATIONAL ECONOMICS: THEORY, APPLICATION, AND POLICY;  Charles van Marrewijk, 2006; 1 Heckscher-Ohlin To demonstrate the Heckscher-Ohlin (HO) result.
International Economics: Theory, Application, and Policy, Ch. 9;  Charles van Marrewijk, Figure 9.1 Joseph Stiglitz ( )
International Economics: Theory, Application, and Policy, Ch. 15;  Charles van Marrewijk, Figure 15.1 Joseph Schumpeter (1883–1950)
International Trade Models ECN 3860 International Economics.
International Economics: Theory, Application, and Policy, Ch. 16;  Charles van Marrewijk, Figure 16.1 Paul Romer (1955– )
Lectures in Macroeconomics- Charles W. Upton International Income Comparisons.
International Economics: Theory, Application, and Policy, Ch. 8;  Charles van Marrewijk, Figure 8.1 James Meade ( )
International Economics: Theory, Application, and Policy, Ch. 3;  Charles van Marrewijk, Figure 3.1 David Ricardo (1772–1823)
International Economics: Theory, Application, and Policy, Ch. 12;  Charles van Marrewijk, january march february november december june may april.
International Economics: Theory, Application, and Policy, Ch. 13;  Charles van Marrewijk, Figure 13.1 Jacob Viner (1892–1970)
INTERNATIONAL ECONOMICS: THEORY, APPLICATION, AND POLICY;  Charles van Marrewijk, 2006; 1 Derivation of the offer curve X Y 0 p x /p y 2 Take an economy.
1 Convergence and Divergence in the Global Economy University of Hull.
Introduction Land area and population Income Income per capita International trade The balance of payments Dynamics and globalization Trade connections.
Developed vs. Developing (underdeveloped) What factors do we need to look for?
Heckscher-Ohlin; 1 To demonstrate the Heckscher-Ohlin (HO) result we will use some of the earlier results, in particular Factor Price Equalization First,
International Trade Classical Trade Theory and Comparative Advantage.
Introduction Smith's argument for free trade Analysis of absolute cost advantage Application: Japan and the USA Problems with absolute cost advantage and.
NEOCLASSICAL TRADE THEORY
International Economics: Theory, Application, and Policy, Ch. 16;  Charles van Marrewijk, Figure 16.1 Paul Romer (1955– )
Introduction Demand Partial equilibrium models General equilibrium models Measuring what is not there: the Dupuit triangle More on the dynamic costs of.
International Economics: Theory, Application, and Policy, Ch. 13;  Charles van Marrewijk, Figure 13.1 Jacob Viner (1892–1970)
International Economics: Theory, Application, and Policy, Ch. 17;  Charles van Marrewijk, Figure 17.1 Mark Melitz (1968 – )
Ricardian Model A lesson in Comparative Advantage.
Introduction Heckscher - Ohlin Demand The production possibility frontier Structure of the equilibrium Autarky equilibrium International trade equilibrium.
The Classical World of David Ricardo and Comparative Advantage Copyright © 2010 by The McGraw-Hill Companies, Inc. All rights reserved.McGraw-Hill/Irwin.
Introduction Zipf's Law and the gravity equation The structure of the model Multiple locations and equilibrium Chapter 14 tool: computer simulations Welfare.
An Introduction to International Economics Second Edition
Figure 1.1 Angus Maddison ( )
Fiscal policy and the current environment Post-Budget Address to Australian Business Economists Tuesday, 18 May 2010 Ken Henry.
University of Papua New Guinea International Economics Lecture 12 - Revision Lecture: Trade Models.
Chapter 4 Consumption, Saving, and Investment. Copyright © 2005 Pearson Addison-Wesley. All rights reserved. 4-2 Figure 4.1(a) The index of consumer sentiment,
Economic growth Economic growth can be defined as an increase in actual or potential GDP Using AD/AS analysis, draw an increase in actual GDP (hint,
International Trade Second Edition Chapter 2 Trade and Technology: The Ricardian Model Copyright © 2011 by Worth Publishers Robert C. Feenstra and Alan.
Chapter 15: Offshoring and supply chains
DO NOW Why do people and countries trade as opposed to just making everything themselves?
Chapter 2: Globalization
Chapter 10: Trade organizations and policy
CHAPTER 1; THE WORLD ECONOMY
The Causes of Economic Growth
Chapter 5: Technology: the neoclassical approach
Chapter 1: The World Economy
University of Hawai‘i at Mānoa Department of Economics
Afghani Economy By Zach and Josh.
Chapter 14: Multinational firms
الفصل الرابع: لمحة في الاقتصاد الكلي
Chapter 11: Strategic trade policy
Data from Modern Germany: Society, Economy, and Politics in the 20th Century.
Chapter 8: Intra-industry trade
Chapter 6: Factor abundance and trade
Chapter 17: Growth and competitiveness
Lecture 1. Classic and Neoclassic Trade Models.
Chapter 17 How Economies Grow and Develop.
Chapter 13: Heterogeneous firms
Tool: production possibility frontier; 1
Measuring Economic Performance
Derivation of the offer curve, 1
Tariff, general equilibrium; 1
Comparative advantage (technology differences); 1
Presentation transcript:

Chapter 4: Technology: the classical approach Charles van Marrewijk International Trade Chapter 4: Technology: the classical approach

4.2 Ricardian production possibility frontiers for Germany and China Toys 120 20 China PPF 100 25 Germany PPF B A C D Cars

4.3 the terms of trade is 5 units of toys per car 120 China budgetline (slope = -5) German budgetline (slope = -5) G 25 Cars

4.4 trade triangles coincide in international equilibrium Toys C 120 China trade triangle C2 China consumption G2 German consumption German trade triangle G 25 Cars

4.5 ratio of productivity in wheat to productivity in sugar cane

4.6 three countries and world production possibility frontier Toys A B   China PPF C   Germany PPF America PPF D Cars

4.7 global Balassa index distribution; 2-digit sectors, 2013 density Balassa index

4.8 income per capita and services value added; % of GDP, 2014

4.9 income per capita and agriculture value added; % of GDP, 2014

4.10 labour productivity and income per capita