Week 7-8: Economies of Scale, Imperfect Competition, Economic Growth and Trade
This week, we will discuss how international trade can result from economies of scale, how product differentiation leads to intra-industry trade, Understand the technological gap and product cycle models of trade, Understand the relationship between transportation costs and environmental standards on international trade. I will explain how the change in a nation’s factor endowments affects its growth, terms of trade, the volume of trade, and welfare, show how technological change affects growth, trade, and welfare, Understand how a change in tastes affects trade, growth, and welfare
Course Material
- Week 1-2: Introducing International Trade Theory, Law of Comparative Advantage
- Week 3-4: The Standard Theory of International Trade, Offer Curves, and the Terms of Trade
- Week 5-6: Factor Endowments and the Heckscher–Ohlin Theory
- Week 7-8: Economies of Scale, Imperfect Competition, Economic Growth and Trade
- Week 9: Mid Term Exam
- Week 10-11: Trade Restrictions: Tariffs, Nontariff Trade Barriers, and the New Protectionism
- Week 12-13: Economic Integration, TOT, Trade & Economic Development, WTO
- Week 14-15: The Balance of Payments, Foreign Exchange Markets, and Exchange Rates
- Week 16-17: Open-Economy Macroeconomics: Adjustment Mechanisms and Policies
- Week 18: Final Term Exam
- Chapters 10
- Department Economics
- Teacher
Dr. Jabbar Ul Haq
