国际财务管理课件克鲁格曼网上ch11.pptx

Slide 11-2 Copyright © 2003 Pearson Education, Inc. Chapter Organization Introduction Sophisticated Arguments for Activist Trade Policy Globalization and Low-Wage Labor Summary Slide 11-3 Copyright © 2003 Pearson Education, Inc. Introduction Two controversies over international trade arose in the 1980s and 1990s. In the 1980s a new set of sophisticated arguments for government intervention in trade emerged in advanced countries. These arguments focused on the “high-technology” industries that came to prominence as a result of the rise of the silicon chip. In the 1990s a dispute arose over the effects of growing international trade on workers in developing countries. Slide 11-4 Copyright © 2003 Pearson Education, Inc. Sophisticated Arguments for Activist Trade Policy There are two kinds of market failure that seem to be present and relevant to the trade policies of advanced countries: Technological externalities The presence of monopoly profits in highly concentrated oligopolistic industries Slide 11-5 Copyright © 2003 Pearson Education, Inc. Technology and Externalities Externalities Firms in an industry generate knowledge that other firms can also use without paying for it. In high-tech industries firms face appropriability problems. Example: In electronics, it is common for firms to “reverse engineer” their rivals’ designs. Sophisticated Arguments for Activist Trade Policy Slide 11-6 Copyright © 2003 Pearson Education, Inc. The Case for Government Support of High-Technology Industries Subsidize the activity with externalities, not all activities in an industry. For instance, RD (as opposed to manufacturing) should be subsidized. How Important Are Externalities? Externalities are hard to measure empirically. Problems of appropriability at the level of the nation (as opposed to the firm) are less severe but still important even for a nation as large as the United States. Sophisticated Arguments for Activist Trade Policy Slide 11-7 Copyright © 2003 Pearson Educa