Economics Chapter 18

Economics Chapter 18

Trading with other Nations Trade and specialization lead to economic growth for individuals, regions, and nations Benefits of Trade Imports Exports Differing factors of production

Absolute Advantage- Ability to produce more output than another country. Specialization Ability of a country to produce a product at a

lower opportunity cost than another country. Fixed Exchange Rates- Pay in that countries currency Foreign Exchange markets- conversion of currency 1945-1970 IMF supported fixed rates of exchange. Devaluation to promote exports

Today a more flexible system Supply and demand set exchange rates on a daily basis Depreciation- fall in the price of a currency Balance of Trade- difference between imports and exports

Three ways to Restrict Imports Tariffs- Tax on imports Revenue tariff- just to raise money Protective tariff- tax to decrease imports and protect domestic producers Quotas- Set an amount that can be brought in Embargoes- Restriction for a particular country

(Cuba) Protectionists- want to protect domestic goods The World Trade Organization- 147 Nations, Worlds largest trade agreement Regional Trade Agreements NAFTA The Central American Free Trade Agreement

(CAFTA) European Union- 25 European countries, larger than the U.S.

Related Presentations

A--133 Audit Compliance Requirements February 22, 2013 Helen
A--133 Audit Compliance Requirements February 22,...
Government spin and statistics
Government spin and statistics
rousehill-h.schools.nsw.gov.au
rousehill-h.schools.nsw.gov.au
Types of Microscopy
Types of Microscopy
Discussion #1 Finite State Machines
Discussion #1 Finite State Machines
Comprehension of Expository Test
Comprehension of Expository Test
Section 15.2 - 15.3 Lecture Notes (Conversation of Momentum)
Section 15.2 - 15.3 Lecture Notes (Conversation of...
Studio Ghibli - Cleveland State University
Studio Ghibli - Cleveland State University

Recently Viewed Presentations

  • Agricultural Value Chain Financing - ADFIAP

    Agricultural Value Chain Financing - ADFIAP

    Agricultural Value Chain Financing By Chavarin Saila Bank for Agricultural and Agricultural Cooperatives (BAAC) to help client to sell paddy at fair prices and on fair terms and conditions Marketing Support Activities Central Paddy Markets Agricultural Marketing Cooperatives (AMCs) Advantages...
  • Ralph M. Stair | George W. Reynolds Chapter

    Ralph M. Stair | George W. Reynolds Chapter

    Organizations invest in computer hardware and software to improve worker productivity, increase revenue, reduce costs, and provide better customer service. Managers in all career fields should know enough about their business' needs to be able to ask tough questions of...
  • The Literature Review 3 edition Six Steps To

    The Literature Review 3 edition Six Steps To

    Write, Audit, Edit. 6 . The literature review document is a formal presentation, a written synthesis of the case and the conclusions drawn. It is writing for a specific purpose. The production of this document requires a specific writing strategy....
  • Using Gender Statistics: a toolkit for training data

    Using Gender Statistics: a toolkit for training data

    The public audience is made up of all members of society who want information in a personal capacity or on behalf of another organisation. The professional audience is made up of professionals in the public, private and educational sectors who...
  • Conventions of Psychological Reporting

    Conventions of Psychological Reporting

    experiment (e.g. Kim's Game, ruler drop test) and correlation (e.g. height and shoe size). When referencing a website or a journal article, the principles are the same as for a book, you just have to put in some other information..
  • VII. The Question Concerning Technology

    VII. The Question Concerning Technology

    VII. The Question Concerning Technology Philosophy 157 G. J. Mattey ©2002 The Essence of Technology Technology can be viewed as a means to an end (instrumental) Or it can be viewed as human activity (anthropological) Both are correct, but neither...
  • Communication, Disclosure and Persuasion in Strategic Settings

    Communication, Disclosure and Persuasion in Strategic Settings

    Heuristic proof. Ex post optimality of worst action. In KG example for message (posterior ) r optimal ex post. D: is worst action if ... Value function in the persuasion problem is concave. A geometric tool to find optimal message...
  • Agenda - University of Minnesota Duluth

    Agenda - University of Minnesota Duluth

    among frequent church attendees "PRINCETON, NJ -- On the eve of the 200th anniversary of Charles Darwin's birth, a new Gallup Poll shows that only 39% of Americans say they "believe in the theory of evolution," while a quarter say...