Key terms in International Economic 2024

International Economic
Course International Economics:
– International Economics studies how a number of distinct economies
interact with one another in the process of allocating scarce resources to
satisfy human wants
– The study of international trade and finance is where the discipline of
economics as we know it began

Introduction, World Trade Data

Part 1 : International Trade Theory: Overview of Main Trade Theories:
The Mercantilists’ Views on Trade
Trade Based on Absolute Advantage: Adam Smith
Trade Based on Comparative Advantage: David Ricardo
The Heckscher-Ohlin Model
– The New Trade Theory:
Intra- Industry Trade theory
International Product Lifecycle & Porter’s Diamond model
Part 2: International Trade Policy
Trade Policy: (Tariffs, Subsidies, VERs) and Non-tariff barriers
– Economic Integration, FTA, ASEAN, EU, WTO, APEC

Chapter 1:
Why do nations trade ?
Benefits of Free Trade
Costs of Free Trade
What are patterns of trade ?
Openness index ? How to calculate trade to GDP ratio ??
What are the main drivers of Globalization?
What are the benefits and challenges of Globalization.
Describe the benefits and challenges of current wave of Globalization for Vietnam’s
economy.
Why Vietnam actively participates in many FTAs?
Current International Economic Problems and Challenges

Chapter 2:
Key lessons of trade theories
What were the Mercantilist’s views on trade
What is the weak point of Mercantilism
Theory of absolute advantage/ Adam Smith ’s views on trade
What policies did Adam Smith advocate in International Trade
the proper function of government in the economic life of the Nation according to Adam
Smith
Ricardo’s law of Comparative Advantage
How do gains from trade arise with Comparative Advantage?
What are the sources of comparative advantage ?

Chapter 5: H-O Théorème :

What is meant by labor-intensive commodity ?
Capital-intensive commodity
What is meant by capital-abundant nation and labor-abundant nation ?
What does the Heckscher and Ohlin theory postulate?
Explain the theorem of Stopler -Samuelson ? Give example
Chapter 6 :
What are the main ideas of New trade theory?
Intra – industry trade.
Theory of Paul Krugman in New trade theory
What is meant by the new international economics of scale?
What is international Economies of Scale? How can international Economies of Scale be
the basis for international trade ?
How Can International trade be based on Product differentiation ? Give some
examples..in international trade
Chapter 8:
What is primary function of tariffs in industrial nations ? developing nations
What is meant by the consumption, production, trade, revenue, and redistribution effects
of an import tariff?
Tariff Effects - An Overview: Partial Equilibrium Effects of a Tariff
Tariff Welfare Effects: Consumer Surplus and Producer Surplus, other effects
What is meant by the protection cost, or deadweight loss, of a tariff? How is this
measured?
Chapter 9:
What are the technical, administrative, and other nontariff barriers to trade ?
How do they restrict trade?
What is non-tariff barriers : NTB ;
TBT : Technical barriers to trade
sanitary and phytosanitary (SPS) measures
Non-tariff measures
Why NTMs, SPSs, are on the rise in recent years in trading activities?
Export subsidy
Production subsidy
the main functions of export subsidy
Explain why Subsidy is more popular and is preferred trade policy in many countries.
To what problems do these subsidies give rise?
Analyze few industries that China use the exports subsidies.
What is an import Quota ?
How does the revenue effect of an import quota differ from that of a tariff ?
What is meant by dumping? What are the different types of dumping?
Why does dumping usually lead to trade restrictions?
Chapter 10:
Key issues of THE NEW GEOPOLITICS OF GLOBALIZATION
Do You agree or don’t agree with Protectionism
What are the benefits and challenges of ASEAN Economic Community ?
Describe the opportunities and economic benefits of Vietnam in the ASEAN Economic
Community.
Present the different level of Economic Integration?
What are the key success factors of China in global trade ?
What are the RCEP
Explain the Free Trade Agreement between Vietnam EU (EVFTA)
What are the trade creations effects in this EU -VN FTA. Give some examples
What are the trade diversion effects in this RCEP. Give some examples
What are the main principles of WTO and how it differ from a FTA?
key principles of GATT.
What are the current crisis at WTO?
Explain the trade creation effect and trade diversion in RCEP, EU- Vietnam FTA
How can Vietnam become the success story of Economic Integration?
economic nationalism
What are the key drivers of slow-balization trend ?