国际经济学（英文）课件CHAPTER2.pptVIP

Chapter 2 Chapter 2 The Law of Comparative Advantage Outline Main Questions of This Chapter The Mercantilists’ Views on Trade Trade Based on Absolute Advantage Trade Based on Comparative Advantage Comparative Advantage and opportunity Costs The Basis for and the Gains form Trade under Constant Costs 2.1 Main Questions of This Chapter Basis for Trade Gains from Trade Pattern of Trade Outline of Theories (17-20C) Mercantilism ——Thomas Munn Theory of Absolute Advantage ——Adam Smith Law of Comparative Advantage ——David Ricardo Opportunity Cost Theory ——Gottfried Haberler 2.2 The Mercantilists’ Views on Trade Magnum Opus Thomas Munn England’s Treasure by Foreign Trade Main Opinions One nation could gain only at the expense of other nations (17-18C) Policy Suggestions Strict government regulations to export more and import less Economic nationalism 2.3 Trade Based onAbsolute Advantage Magnum Opus Adam Smith The Wealth of Nations(1776) Definition Illustration of Absolute Advantage Policy Suggestions Definition — Absolute Advantage Two Nations :1 , 2 Two Commodities : X , Y Nation 1 is more efficient than nation 2 in production of commodity X Nation 2 is more efficient than nation 1 in production of commodity Y Illustration of Absolute Advantage Figure income U.S:for 6C of cost of time=1/4*6=1.5hours If:cost 1hour ,only 4C=1/1/4, Because of exchange Saving:0.5hours,more than 2C Continue U.K:for 6W of cost of time=1*6=6hours If:cost 6hour to produce C , Will have 30C=5*6, Because of exchange Saving:24/5hours,more than24C Policy Suggestions ——Theory of Absolute Advantage Policy of Laissez-faire as little government interference with the economic systems as possible 2.4 Trade Based on Comparative Advantage Magnum Opus David Ricardo Principle of Political Economy and Taxation The Law of Comparative Advantage The