Ch06 Economies of Scale, Imperfect Competition, and International Trade(国际经济学)概要1.pptVIP

OUTLINE 6.1? Introduction 6.2? The H-O Model and New Trade Theories 6.3? Economies of Scale and International Trade 6.4? Imperfect Competition and International Trade 6.5 Trade Based on Dynamic Technological Differences 6.6? Transportation Costs, Environmental Standards, and International Trade (Skip) 6.1 Introduction Two difficulties with the H-O theory: (1) Some questions remain regarding the empirical validity of the theory. (2) This implies that a great deal of todays international trade still left unexplained. 6.2 The H-O Model and New Trade Theories Validity of the assumptions of the H-O Model (1) There are two nations, two commodities, and two factors of production. ? O.K. Increasing the numbers does not change the major findings of the H-O model. 6.2 The H-O Model and New Trade Theories Validity of the assumptions of the H-O Model (4) Both commodities are produced under constant returns to scale in both nations. ? Economies of scale can be also a basis for trade (Section 6.3). This results in intra-industry trade. 6.2 The H-O Model and New Trade Theories Validity of the assumptions of the H-O Model (8) There is perfect factor mobility within each nation but no international factor mobility. ? ? O.K. 6.3 Economies of Scale and International (1) There are two nations (N1, N2) two commodities (X, Y) (2) Both nations use the same technology in production. (3) Neither commodity is labor intensive or capital intensive. (4) Both commodities are produced under increasing returns to scale in both nations. - i.e., Output grows proportionately more than the increase in inputs of production. (eg., If all inputs are doubled, output is more than doubled: Economies of scale.) (5) Tastes are equal in both nations. 6.3 Economies of Scale and International 6.3B. Explanation 6.3 Economies of Scale and International 6.3B. Explanation Some aspects of the analysis: 6.3 Economies of Scale and International 6.3C. Related Sources