Ipe Test

Front 1

HO Model

Back 1

Heckscher Ohlin, exports of goods are based on the factors you're endowed with.

Front 2

Stopler Samulson Theorem

Back 2

Open trade = importing labor to this nation to supply garments at a lower price. Relative scarce factor seeks protectionism, relative abundant factor promotes free trade.

Front 3

Hegemonic Stability Theory

Back 3

Krastner, Hegemon will want to open up trade

Front 4

Andrew Rose

Back 4

Trade gravity, Does the WTO matter?

Front 5

Ronal Rogoski

Back 5

Believes in abundant and scarce factor differences. Also, three factors of production (land, capital, and labor) conflict (class conflict and rural-urban conflict)

Front 6

AKY

Back 6

Aggarwal-Keohane-Yoffe, concentration + exit barriers cominations and how they lead to protectionism

Front 7

James Wilson

Back 7

Two by two table: cost (concentrated and diffused) and Benefit (concentrated and diffused). In c/c small number of big firms absorb all costs and there will be Collective action

Front 8

Smoot Hawley Act

Back 8

1930, raised tariffs in the US to very high levels.

Front 9

Reciprocal Trade Agreements Act

Back 9

Reduce tariffs to up to 50 percent for corresponding concessions.

Front 10

Alexander Gerschenkron

Back 10

Industrialization as the only way for development: a nightwatchman, a fiscal agent, the banker, the producers, the planner

Front 11

Singer-Presbisch Theory

Back 11

Core and Periphery. A decline in a country's terms of trade means that the price of the good it exports is falling relative to the price of the goods it imports.

Front 12

Cobden-Chevalier Treaty

Back 12

1860, A bilateral act between France and britain that removed most tariff barriers. Removal of barriers extended to all MFN nations attached to B&F

Front 13

competitive devaluation

Back 13

devalue own currencies to undercut competitors to make home produced goods cheaper and imported goods expensive.

Front 14

generalized system of preferences

Back 14

you can discriminate against developed nations for developing ones

Front 15

Dichotomy of Economic homogeneity and heterogeneity

Back 15

If an RTA is formed by economically homogeneous countries, good. If RTA includes economies with different structures/different levels of development, probably diverting trade rather than creating it.