《經(jīng)濟(jì)學(xué)專業(yè)英語教程(第三版·下)》Unit-8

Unit8Text:InternationalTrade（國際貿(mào)易）1.Keywords2.Reasonsandbenefitsfrominternationaltrade3.Absoluteadvantage4.Comparativeadvantage5.Termsoftrade6.Tradeprotection7.Questions1.Keywordsnaturalresourcescomparativecostnetgaincomparativeadvantageabsoluteadvantagecomparativedisadvantageproductionpossibilityboundarydiminishingreturnsopportunitycostratiotermsoftradetermsoftradeindexrestrictionsontradeexchangecontrolregulationphysicalcontrolbalanceofpaymentsdeficitstrategicallyimportantindustrydubiousargumentbarrierstointernationaltradefree-tradezone2.Reasonsandbenefitsfrominternationaltrade2.1Reasonsforinternationaltrade2.2Benefitsfrominternationaltrade2.1ReasonsforinternationaltradeDuetoclimaticdifferencessomegoodswouldnotbeavailableinmanypartsoftheworldwithouttrade.Naturalresourcesarenotevenlydistributedthroughouttheworld.Skillsandtechnologyarealsonotdistributedevenly,andwhilstsomecountrieshaveahighleveloftechnologicaldevelopmentothershaveamuchlowerlevel,bothwillthereforetendtoproducegoodsofadifferentnature.Becausefactorsofproductionandnaturalresourcestendtobeimmobile,itismoreconvenienttospecializeintheproductionofthosegoodsinwhichthereisanatural,oracquiredadvantage,andtradethesurplusnotrequiredfordomesticconsumptionforthosegoodswhichcannotbeproduced.2.2BenefitsfrominternationaltradeItisfarmoreefficientforeachcountrytouseitsresourcesintheproductionofthosegoodswhicharenotproduced.Specializationandtradeincreaseworldoutputandenableeverybodytoenjoyahigherstandardoflivingthanwouldbeotherwiseavailable.Awidervarietyofgoodsaremadeavailabletomorepeople.Thelawofcomparativecostsshowsthatcountriescangainfromspecializationandtradeprovidedthatthereissomedifferenceintherelativecostsofproducingthosegoods.3.Absoluteadvantage3.1Assumption3.2Beforespecialization3.3Afterspecialization3.1AssumptionsupposetherearetwocountriesXandY.Bothproducejusttwogoods,beefandcars.BothcountrieshaveanequivalentamountofcapitalandlaborbutXhasabundantgrasslandsandsuitableclimateforbeefproductionwhilstYhaslessfavorableclimateandagriculturalconditionsbutamorehighlyskilledworkforce.Therearenounemployedfactorsineithercountry.Bothcountriesareusingtheirresourcesequallytoproducebothgoods.3.2BeforespecializationCountryBeef(Units)Cars(Units)X1000200Y2001000Totalproductionbeforespecialization120012003.3AfterspecializationCountryBeef(Units)Cars(Units)X20000Y02000Totalproductionbeforespecialization200020004.Comparativeadvantage4.1Assumption4.2Beforespecialization4.3Afterspecialization4.1AssumptionIfonecountryismoreefficientintheproductionofbothgoods,i.e.hasanabsoluteadvantage,thenitmaystillbeworthwhileengagingintradeifonecountryspecializesintheproductionofthosegoodsinwhichitsdisadvantageisleast;referredtoasleastcomparativedisadvantage,andtheothercountrythosegoodsinwhichthecomparativeadvantageisgreatest.SupposethatcountryXwasmoreefficientintheproductionofbothbeefandcars.4.2BeforespecializationCountryBeef(Units)Cars(Units)X1000600Y900200Totalproductionbeforespecialization19008004.3AfterspecializationCountryBeef(Units)Cars(Units)X2001080Y18000Totalproductionbeforespecialization20001080Gain1002805.Termsoftrade5.1Definitionoftermsoftrade5.2Termsoftradeindex5.1DefinitionoftermsoftradeThetermsoftraderefertotherateatwhichonenation’sgoodscanbeexchangedforthoseofothers.Thetermoftradearemeasuredbymeansofatermsoftradeindex.5.2TermsoftradeindexTermsoftradeindex=(indexofexportprices/indexofimportprices)×100Thebaseyearoftheindexis100.Animprovementinthetermsoftradeissaidtobefavorableandshowsasanincreaseintheindex,indicatingthatagivenvolumeofexportscanbeexchangedforagreatervolumeofimports.Afallintheindexissaidtobeunfavorableasagivenvolumeofexportscanonlybeexchangedforasmallervolumeofimports.6.Tradeprotection6.1Protectionism6.2Formsofrestrictionsontrade6.3Reasonsforrestrictionsontrade6.4Costsofprotection6.1ProtectionismDespitethegainsfromfreeinternationaltrade,nationshavefrequentlyattemptedtorestricttheamountoftradeinordertoprotecttheirdomesticeconomiesfromtheeffectsofforeigncompetition.Thecompetitionmaybefromlowercostproducersduetoeither,orboth,greaterefficiencyandlowerwagecosts.Suchanattitudeisreferredtoas“protectionism”.6.2FormsofrestrictionsontradeTariffsQuotasSubsidiesExchangecontrolregulationPhysicalcontrols6.3ReasonsforrestrictionsontradeProtectinganewordevelopingindustry—the“infantindustrycase”.Assistingintheeliminationofabalanceofpaymentsdeficit.Protectingthedomesticeconomyagainstunemploymentcausedbytoomanyimportedgoods.Protectingstrategicallyimportantindustriessuchasiron,steelandshipbuilding.Protectingthedomesticeconomyfrom“unfair”competition,inparticular“dumping”whereexcessproductionissoldabroadatcostinordertocovermarginalcostsonly,andallowprofitstobemadeonthedomesticmarket,orwhere“cheap”laborisbeingused.6.4Costsofprotection6.4.1Industries6.4.2Consumers6.4.3Countries6.4.1IndustriesInthelongrunprotectionfromcompetitionresultsinalossofefficiencyandinventiveness.Wheneventuallyindustrieshavetofaceinternationalcompetitionagain,theywillbeweakandill-equippedtodoso.6.4.2ConsumersConsumersareforcedtopayhigherpricesandhavearestrictedchoiceofgoods.6.4.3CountriesTradeispossiblythebestwayofforginglinksbetweencountri