This module involves:
Traditional and alternative models of international trade
the determinants of the pattern of trade
the effects of trade on the distribution of income
free trade versus protection
trade in factors of production
multimationals and trade.
The topical notes included are:
Empirical Evidence [Assessing the empirical evidence of the impact of international trade on growth, Inequality and Poverty]
Trade Policy [Ideals behind trade protection advocacies, Brandon Spencer model, exclusive applicability to developing countries, Case against trade protection theories]
New Trade theories [Theoretical critique of Heckscher-Ohlin model, increasing returns to scale, Autarky model and gains from trade, dynamic increasing returns to scale, external and internal economies of scale, empirical evidence, implications of new trade theories, relevance of theory to developing countries]



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