Pangasinan State University LINGAYEN CAMPUS Lingayen, Pangasinan

INTERNATIONAL ECONOMICS

Jameson N. Estrada Pangasinan State University

PREFACE International Economics with the course code Econ 118 is concerned with the patterns and consequences of economic transactions and interactions among the inhabitants of different countries with an emphasis on international trade theories, trade and macroeconomic policies, balance of trade, international finance and other essential international economic issues like multinational enterprises, trade organizations, economic integration and globalization. To ensure the course objectives would be achieved, a need for a teaching resource material is necessary. Thus, this worktext has been prepared. The worktext is intended for use by students of AB Economics program taking up the subject Econ 118 with the objective of providing them with a comprehensive understanding comprehensive framework for consistent reasoning and analysis of economic data. Likewise, it has been designed as an instrument for learning development and assessment, providing students with a practical approach to applying the knowledge learned in the lectures. Each worktext covers exercises that is built upon the lessons of all the chapters with the following course outcomes: 1. Develop an understanding of the nature and scope of international economics. 2. Learn the historical development of modern trade theory by presenting the contemporary theoretical principles used in analyzing the effects of international trade. 3. Comprehend the level of development of nations like the Philippines based on their patterns of trade. 4. Evaluate the different trade policies used by countries in restricting international trade transactions. 5. Analyze and interpret data of all international transactions including payments for the country's exports and imports of goods, services, financial capital and transfers. 6. Have a clear understanding of the concept of exchange rate and the function and operations of the foreign exchange market. 7. Understand what is happening in an open economy and the world by determining how nationwide and worldwide macroeconomic policies affect international trade. 8. Make an awareness of the impact of international trade organizations like WTO, APEC and ASEAN on economic interactions among nations. 9. Realize the roles of multinational enterprises in local economies and the world economy which play an important role in international trade relations and globalization. 10. Appreciate the value of global relationships of culture, people and economic activity. 11. Learn the new international economic trends and issues like ASEAN integration. Bear in mind that it takes sustained effort – and some dedicated patience – to study and learn the subject. But, it is assured that the effort is well worth it. It is hoped this modest work helps you. So, the best of luck as you begin your journey in answering the worktext exercises!

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TABLE OF CONTENTS PAGE

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CONTENT

1

Introduction to International Economics

4

International Trade Theories

9

Balance of Trade

14

International Trade Policy Balance of Payments

18

Exchange Rate and Foreign Exchange Market

21

Macroeconomic Policy in an Open Economy

24

Economic Integration and International Trade Organization

28

Multinational Enterprises

31

Globalization

35

New International Economic Trends and Issues

4

Republic of the Philippines

Pangasinan State University Lingayen Campus

WORKTEXT 1 : INTRODUCTION TO INTERNATIONAL ECONOMICS Econ 118 – International Economics

NAME: _______________________________________

SCORE: ___________________________________

YEAR AND COURSE: ___________________________

DATE: ____________________________________

EXERCISE

EXERCISE

1

True or False. Determine whether each of the following statements is true or false. Write the answer on the blank after the number. 1.

International economics studies the patterns and consequences of transactions and interactions between the inhabitants of different countries. ___________

2.

Scarcity does ____________

not

exist

in

developed

countries.

3.

International trade has generally helped developing countries but hurt developed countries. ____________

4.

Domestic trade occurs within a country’s own boarders. ____________

5.

Trade occurs because it makes people better off. ____________

6.

A trade deficit occurs when a nation imports more than they export. ____________

7.

One of the macroeconomic goals of a nation is to achieve a favorable balance of trade. ____________

8.

Trade between industrial countries accounts for the bulk of international trade. ____________

9.

Fuels are the most heavily traded category of goods in the world, in terms of value of exports. ____________

10. A country has an absolute advantage when it can produce a good more efficiently than can other nations. ____________ 11. Consumption expenditures are spending by businesses on capital goods to be used in producing goods and services. ____________ 12. Economic growth is one of the economic goals that measures the quality of life. ____________ 13. China is the current top exporting country in the world. ____________ 14. Germany has the largest economy in the world in terms GDP. ____________ 15. Microeconomics views the overall performance of the world economy. ____________

WORKTEXT 1 : Introduction to International Economics

2

Identification. Match the following statements to the items inside the box below. Write your answer on the blank provided. Export

Import

International trade

Trade barrier Quota

Comparative advantage

World Bank

APEC

GATT

Trade policy

Import substitution

lus

Dumping

Balance of payments

Exchange rate

Foreign exchange

WTO

Trade surp

Absolute advantage

Tariff

NAFTA

Globalization Balance of trade

16. This studies goods-and-services flows international boundaries. ____________

across

17. A set of bilateral agreements among countries around the world to reduce trade barriers. ____________ 18. The process of greater interdependence among countries and their citizens. ____________ 19. A record of the flow of economic transactions between the residents of one country and the rest of the world. ____________ 20. It specifies the maximum amount of a commodity that may be imported in any period. ____________ 21. These are domestic products sold to the rest of the world. ____________ 22. These are products bought from the rest of the world. ____________ 23. The difference between the monetary value of exports and imports of output in an economy over a certain period. ____________ 24. The ability to produce a particular good at a lower opportunity cost. ____________ 25. The selling of excess goods in a foreign market at a price below cost. ____________

Econ 118 – International Economics www.jamesonestrada.com

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26. It’s the price of one currency in terms of another. ____________

42. A Japanese firm exports bulk of digital camera products to European countries. ___________

27. An organization that intends to supervise and liberalize international trade. ____________

43. A Japanese camera manufacturer distributes the new DSLR models to its domestic dealers. ___________

28. This occurs when the value of exports exceeds the value of imports. ____________

44. Singapore imports 30,000 units of watches from Switzerland. ___________

29. Tariff a tax levied on a product when it crosses national boundaries. ____________

45. A vegetable dealer bought cabbages and carrots from Baguio and sold these to Metro Manila. ___________

30. These government-induced restrictions on international trade. ____________

46. The Intel chip which is made in United States is exported to China to produce Lenovo laptop. ___________ 47. Australia produces 5,000 tons of iron ore in 2013 and ten percent of the total production sold to France.

EXERCISE

3

Classification. Determine whether each of the following statements is normative or positive. Write N for normative and P for positive. 31. GATT should allow countries the option of taking action against dumping. ___________ 32. Philippine trade restrictions cost consumers P35 billion a year. ___________ 33. United States is the largest trading partner of the Philippines. ___________ 34. An import quota is a government-imposed limit on the quantity of a product that can be imported. ___________ 35. Government subsidies should be granted as a form of protection to domestic exporters and import competing producers. ___________ 36. The Philippines should cut its imports. ___________ 37. What would be the likely effects of export restraints imposed by Japan on its auto shipments to the United States? ___________ 38. A nation will export a particular product if the world price exceeds the domestic price. ___________ 39. What are the determinants that increased the number of mangoes exported to Australia? ___________ 40. Tariffs protect domestic industry by increasing the price of foreign goods. ___________

48. A Nigerian tourist bought some Italian shoes when he had a vacation trip to Rome, Italy. 49. The Philippine government contracted one of the leading construction firms in the country to handle major infrastructure projects. 50. Mango farmers from Guimaras export their mangoes to East Asian countries.

EXERCISE

5

Classification. To which category of traded goods does each of the following belong? Write CO for consumer goods and CA for capital goods. 51. Transport equipment ____________ 52. Dairy products ____________ 53. Clothing ____________ 54. Semiconductors ____________ 55. Iron and steels ____________ 56. Electrical machinery ____________ 57. Mineral fuels ____________ 58. Cereals ____________ 59. Fashion accessories ____________ 60. Rice ____________

EXERCISE

4

Classification. Identify whether the following transactions involves domestic trade or international trade. Write DT for domestic trade and IT for international trade. 41. A multinational corporation brought its technology and capital investment to Vietnam where labor is abundant and cheap to minimize production costs. ___________

WORKTEXT 1 : Introduction to International Economics

61. Fertilizers ____________ 62. Vegetable oils ____________ 63. Beverages ____________ 64. Chocolates ____________ 65. Smartphones ____________ Econ 118 – International Economics www.jamesonestrada.com

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EXERCISE

6

Fill in the blanks with the appropriate word or phrase that completes each statement. Refer to the circular flow diagram below to answer the following.

EXERCISE

7

Problem Analysis. Analyze and answer what is required in the following problems. A. Refer to the accompanying table and answer the questions that follow. Tailors

Jeans

Shirts

Adrian Francis

2 4

8 10

76. Adrian’s opportunity cost of making shirts is 77. Adrian’s opportunity cost of making jeans is 78. Francis’ opportunity cost of making shirts is 79. Francis’ opportunity cost of making jeans is 80. Who has a comparative advantage in making shirts? 81. Who has a comparative advantage in making jeans?

66. This ___________ shows the income received and payments made by each sector of the economy.

B. From the diagram below showing the production possibilities curve between consumer goods and capital goods.

67. Households ___________ the factors of production to firms in exchange for income in the form of wages, interest, profit, and rent. 68. The ___________ receives taxes from firms and households. 69. Funds flow from firms to households in the form of wages, profit, interest, and rent through the factor markets. ___________ 70. ___________ to the rest of the world generate a flow of funds into the economy. 71. Some of the income households earn is not spent on consumer goods or paid in taxes but is deposited in checking or savings accounts in _____________. 72. It buys goods and services from firms, pays wages and interest to households, and make transfer payments to households. 73. Imports lead to a flow of funds out of the economy. ___________ 74. Finally, people in other countries____________ goods and services produced domestically (exports). ___________ 75. In the market for the factors of production, households are sellers, and firms are ____________.

WORKTEXT 1 : Introduction to International Economics

82. What are the efficient production points? 83. What are the attainable points with the resources and technology currently available? 84. What are the full employment production points? 85. What is the opportunity cost of moving from point B to point C? 86. What is the opportunity cost of moving from point B to Point G?

Econ 118 – International Economics www.jamesonestrada.com

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C. Use the following information to answer the questions below. Country India Philippines

Mangoes

Pineapples

400 200

1,600 1,600

EXERCISE

8

Fill in the blanks. Identify the capital and currency of the following countries. Capital

Currency

87. Who has absolute advantage in producing mangoes?

97. China

_____________

______________

88. Who has absolute advantage in producing pineapples?

98. United States

_____________

______________

89. What is the opportunity cost for each country producing mangoes?

99. Philippines

_____________

______________

100. France

_____________

______________

101. Nigeria

_____________

______________

91. If these two countries were to engage in trade, which country should produce mangoes and who should produce pineapples and why?

102. Japan

_____________

______________

103. Saudi Arabia

_____________

______________

D. Use the following information below about exports from Germany and China to answer the following questions.

104. Kuwait

_____________

______________

105. South Korea

_____________

______________

106. New Zealand

_____________

______________

107. Thailand

_____________

______________

108. Germany

_____________

______________

109. United Kingdom _____________

______________

110. Bahrain

______________

90. What is the opportunity cost for each country producing pineapples?s

Germany’s Top Exports Automobiles, machineries, chemicals, metals

China’s Top Exports Apparel, foodstuffs, textiles, glassware

92. In which factor of production does Germany seem to have comparative advantage? 93. Based solely on these data, would China and Germany make good trading partners? Why?

_____________

E. The table below shows production possibilities of a hypothetical economy producing rice and bicycles. Possibility

Rice

Bicycles

A B C D E F G H I

0 10 20 30 40 50 5 10 25

20 18 15 11 6 0 10 12 18

94. Draw the economy’s production possibilities frontier. Put rice in horizontal axis and bicycles in vertical axis. Label the production points. 95. Identify and interpret the production points (A to I). 96. Which points illustrate a tradeoff? Explain why.

WORKTEXT 1 : Introduction to International Economics

Econ 118 – International Economics www.jamesonestrada.com

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Republic of the Philippines

Pangasinan State University Lingayen Campus

WORKTEXT 2 : INTERNATIONAL TRADE THEORY Econ 118 – International Economics

NAME: _______________________________________

SCORE: ___________________________________

YEAR AND COURSE: ___________________________

DATE: ____________________________________

EXERCISE

1

True or False. Determine whether the following statements is true or false. If false, change the underlined word or phrase to make the statement correct. Write your answer on the blank provided after the question. 1.

International trade theory analyzes the basis of and the gains from international trade. ___________

2.

Countries gain from international trade by specializing in the production of the goods in which they have an absolute advantage and trading them for other goods. ___________

3.

Efficient production of various goods requires different technologies or combinations of resources. __________

4.

The idea that goods and services can be valued according to their relative labor content is known as labor theory of value. ___________

5.

David Ricardo challenged the mercantilists with his notion of absolute advantage. ___________

6.

The Heckscher-Ohlin theory stresses that a country should specialize in exporting products that use the factors that are most abundant. ___________

7.

The specific factors model can be interpreted as a shortrun version of the Heckscher-Ohlin model. ___________

8.

Labor-intensive industries use a large portion of capital to buy expensive machines, compared to their labor costs. ___________

9.

Developed countries tend to export a much wider range of products than developing countries. ___________

10. Paul Krugman found that the USA exported laborintensive goods and imported capital-intensive goods, in contradiction with Heckscher-Ohlin theory. ___________ 11. The relativity model predicts trade based on the distance between countries and the interaction of the countries' economic size. ___________ 12. The product life cycle theory focuses on the role of technological innovation as a key determinant of the trade patterns in manufactured products. ___________

WORKTEXT 2 : International Trade Theory

EXERCISE

2

Multiple Choice. Encircle the one alternative that best completes the statement or answers the question. 13. The basis for international trade is A. established trade patterns. B. absolute advantage. C. shipping costs. D. comparative advantage. E. the size of two countries. 14. This trade theory believes that nations accumulate financial wealth by encouraging exports and discouraging imports. A. Physiocracy B. Comparative advantage C. Absolute advantage D. Mercantilism E. New trade theory 15. According to mercantilists, a country's wealth should be measured according to its A. per capita income B. Gross domestic product. C. employment rate D. economic growth E. accumulations of precious metals 16. If a nation has the ability to produce a good more efficiently than any other nation using the same or fewer resources, then it possesses A. competitive advantage. B. comparative advantage. C. absolute advantage. D. global advantage. E. product advantage. 17. In the Philippines one baker can bake 400 pieces of pandesal or 50 loaves of bread. What is the opportunity cost of producing one loaf of bread? A. 8 pandesals B. 0.125 bread C. 16 pandesals D. 400 pandesals E. 50 breads 18. Consider the following table showing labor requirements per unit of production: Country Thailand Vietnam

Rice 4 hours/unit 6 hours/ unit

Cashew Nuts 10 hours/unit 5 hours/unit

According to Adam Smith, Thailand should specialize in and export ________ and Vietnam should specialize and export _________. A. cashew nuts; rice B. rice; cashew nuts C. cashew nuts; cashew nuts D. rice; rice E. none of these

Econ 118 – International Economics www.jamesonestrada.com

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19. An increase in the number of trading partners means a rise in A. tariffs. B. specialization. C. opportunity costs. D. unemployment. E. products’ prices 20. Comparative advantage is closely linked to the idea of A. technology. B. equilibrium. C. absolute advantage. D. trade surplus. E. opportunity cost. 21. For each one pound of cotton China produces, it gives up the opportunity to make 3 liters of milk. Australia can produce one pound of cotton for every 6 pounds of milk it produces. Which of these is true about the opportunity costs in the two countries? A. The opportunity cost of producing cotton is lower in Australia. B. The opportunity cost of producing milk is higher in Australia. C. The opportunity cost of producing cotton is higher in China. D. The opportunity cost of producing milk is higher in China. E. The opportunity cost of producing cotton is the same in both countries. 22. David Ricardo A. was the leading British economist of the early 1800s. B. is credited with originating the comparative advantage theory. C. known for his most famous work, Principles of Political Economy and Taxation. D. was an advocate of free trade and an opponent of protectionism. E. All of these. 23. The Ricardian model explains that gains from trade occur A. only if countries specialize totally. B. only if countries do not specialize completely. C. for both countries that trade with each other. D. only if a country has an absolute advantage in production E. only if both countries have an absolute advantage in the industry in which they specialize. 24. If Nigeria has a comparative advantage in producing oil, then A. other countries will never produce oil if trade is allowed. B. the productivity of workers in the oil industry in is higher than in other countries. C. it can produce oil using fewer resources than other countries can. D. it can produce oil at a lower relative cost than other countries can. E. it has more resources used in the production of oil relative to other countries. 25. Hecksher and Ohlin looked into differences in ______ in their theory of why countries trade. A. economic size B. factor endowments C. production levels D. labor productivity E. trade restrictions 26. Which of these is not an assumption of the Heckscher-Ohlin model? A. The amount of labor and capital in two countries differ. B. There is free trade. C. Technology is identical in the two countries. D. Factors are perfectly mobile between countries and not mobile within countries. E. There is perfect competition in the goods and factors markets. 27. Although import controls may benefit _____________, the theories of Smith, Ricardo and Hecksher-Ohlin suggest that the economy as a whole is hurt by such actions.

WORKTEXT 2 : International Trade Theory

A. exporters C. producers or manufacturers E. government

B. importers D. Consumers

28. According to the Heckscher-Ohlin theorem, if (𝐾/𝐿)𝐴 > (𝐾/𝐿)𝐵 country A will import the __________ good and country B will import the __________ good. A. capital abundant; labor abundant. B. labor abundant; capital abundant. C. capital intensive; labor intensive D. labor intensive; capital intensive E. none of these. 29. Industries such as oil and coal production tend to have ________ ratios of capital to labor, while industries such as textile production tend to have ________ ratios of capital to labor. A. low; also low B. high; also high C. low; high D. high; low E. none of these. 30. This situation that exists when good Y is capital-intensive at (𝑤/𝑟)1 but labor intensive at (𝑤/𝑟)2 is known as A. free trade B. demand reversals C. factor intensity reversals D. specific factors E. dumping 31. Which of the following has been regarded as an explanation for the Leontief paradox? A. factor intensity reversals B. free trade C. market structure D. product life cycle E. factor endowments 32. What does occur during the mature phase of the trade product cycle model? A. The innovating country begins to export the product. B. Some production of the product may move to other countries. C. Foreign demand for the product grows. D. Outsourcing of jobs occurs. E. All of the above. . 33. The observation that smartphones are now produced in Asian countries such as India, China, and Taiwan may imply that A. smartphones have entered the new product phase of product cycle theory. B. smartphones have entered the maturing product phase of product cycle theory. C. smartphones have entered the compartmentalized product phase of product cycle theory. D. smartphones have entered the competitive product phase of product cycle theory. E. smartphones have entered the standardized product phase of product cycle theory. 34. The Linder hypothesis is relevant in explaining A. intra-industry trade, as is the Heckscher-Ohlin model. B. intra-industry trade, unlike the Heckscher-Ohlin model. C. the product cycle as is the Heckscher-Ohlin model. D. the product cycle, unlike the Heckscher-Ohlin model. E. the gravity model, unlike the Heckscher-Ohlin model 35. The situation in which the Philippines both exports and imports rice is known as A. inter-industry trade. B. intra-industry trade. C. free trade. D. product trade cycle. E. labor-intensive trade.

Econ 118 – International Economics www.jamesonestrada.com

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EXERCISE

3

Classification. The Ricardian model focuses on comparative advantage, the most important concept in international trade theory. Determine whether the following correctly describes the Ricardian model. Write Yes if each number describes the model, otherwise, write No. 36. Multiple factors of production are included, but some are specific to the sectors in which they are employed. _________

50. The difference in relative resource abundance is the cause of the pretrade differences in the relative product prices between the two countries. _________ 51. Labor mobility among industries is possible while capital is assumed to be immobile in the short run. _________ 52. Trade is based on assumptions such as monopolistic competition and increasing returns to scale. _________

37. Two countries will both gain from trade if, in the absence of trade, they have different relative costs for producing the same goods. _________

53. Trade is based on the distance between countries and the interaction of the countries' economic sizes. _________

38. Labor is the only primary input to production. _________

54. Capital-abundant country will export the capitalintensive good, while the labor-abundant country will export the labor-intensive good. _________

39. A nation is able to produce a good more efficiently than any other nation. _________ 40. Free trade occurs between nations; that is, no government barriers to trade exist. _________ 41. Labor is perfectly mobile among sectors but not internationally. _________ 42. Perfect competition prevails in all markets. _________ 43. There is technological differences across countries. _________ 44. Trade patterns would be based on relative factor abundance. _________ 45. Countries with cultural ties trade more. _________ EXERCISE

4

Classification. For each of the following, choose the letter that best describes what international trade theory or model is described. A. B. C. D. E. F. G. H.

Heckscher-Ohlin Model Specific Factor Model New Trade Theory Gravity Model of Trade Factor-Price Equalization Theoren Stolper-Samuelson Theory Product Life Cycle Trade Theory Competitive Advantage Theory

46. A nation will export the product that uses a large amount of its relatively abundant resource. _________ 47. The pattern of international trade is determined by differences in factor endowments. _________ 48. There is a strong empirical relationship between the size of a country’s economy and the volume of both its imports and its exports. _________ 49. The theory suggests that if there is an increase in the price of a good, the owners of the factor of production specific to that good will profit in real terms. _________ WORKTEXT 2 : International Trade Theory

55. Specific factors of production such as physical capital are not easily transferable between industries. _______ 56. Strategic advantage of one business entity has over its rival entities within its competitive industry. _________ 57. The relative prices for two identical factors of production in the same market will eventually equal each other because of competition. _________ 58. A country that creates a new product will eventually become a net importer of that product. _________ 59. The existence of the home market effect derived from models with returns to scale and transportation costs. _________ 60. The export of a product that embodies large amounts of a relatively cheap, abundant resource makes this resource more scarce in the domestic market. ________ EXERCISE

5

Classification. Determine whether each of the following industries are considered to be capital–intensive or laborintensive. Write CI for capital-intensive and LI for labor-intensive. 61. Farm production _________ 62. Oil production and refining _________ 63. Electric power plants _________ 64. Telecommunications _________ 65. Electronics assembly plant _________ 66. Mining _________ 67. Aircraft and spacecraft _________ 68. Toys and sporting equipments _________ 69. Apparel production _________ 70. Textile or footwear production _________

Econ 118 – International Economics www.jamesonestrada.com

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EXERCISE

6

EXERCISE

Classification. Match each country with its product having absolute or comparative advantage by connecting the appropriate number next to the corresponding letter. 71. New Zealand

A. Pineapples

72. Brazil

B. Watches

73. South Korea

C. Automobiles

74. Switzerland

D. Tomatoes

75. Philippines

E. Oil products

76. Saudi Arabia

F. Ships

77. Japan

G. Lumber

78. Italy

H. Wine

79. United States

I. Toys

80. China

J. Computer software

81. Germany

K. Milk

82. Mexico

L. Cocoa

83. Canada

M. Ships

84. India

N. Soaps

85. Thailand

O. Rice

EXERCISE

7

Compute the trade value of the following using the gravity model equation and arrange the values from A to J in increasing order according to the volume of trade between the Philippines (GDP of $0.27 trillion) and the trading countries. The GDP (in trillion) and distance (in thousand kilometers) of the trading countries are given below.

8

Classification. Determine whether each of the following deals with inter-industry trade or intra-industry trade. Write Inter for inter-industry trade and Intra for intra-international trade. 96. Japan manufactured and exported Mitsubishi vehicles and imported Ford vehicles made from USA. _________ 97. Germany traded aircrafts and steel for textiles and shoes to China. _________ 98. Russia exported 2.2 million tons of apples and imported 0.2 million of China apples in 2013. _________ 99. Singapore imported finished manufactured items from China and exported raw materials to India. _________ 100. France tends to export sophisticated manufactured products and import resource-intensive goods. _________ 101. Singapore traded finished manufactured items traded for primary materials. _________ 102. South Korea sold 254 million smartphones and bought 120 million of them abroad. _________ 103. Philippines exported pharmaceutical products to Thailand and imported the same from Vietnam. _________ 104. Some domestically produced computers in Taiwan are exported to the Philippines and some coconuts domestically produced by the latter are exported to Taiwan. _________ 105. India is one of the world's largest producer and consumer of milk, yet neither exports nor imports milk. _________

86. _________ China (GDP: $9 trillion) (Distance: 3.10) 87. _________ India (GDP: $2 trillion) (Distance: 4.62) 88. _________ Russia (GDP: $2.2 trillion) (Distance: 5.57) 89. _________ Japan (GDP: $5.1 trillion) (Distance: 3.07) 90. _________ France (GDP: $2.7 trillion) (Distance: 11.1) 91. _________ USA (GDP: $16.2 trillion) (Distance: 13.13) 92. _________ Brazil (GDP: $2.5 trillion) (Distance: 19.3) 93. _________ Germany (GDP: $3.6 trillion)(Distance: 10.3) 94. _________ Italy (GDP: $2.1 trillion) (Distance: 10.58) 95. _________ UK (GDP: $2.4 trillion) (Distance: 10.81)

WORKTEXT 2 : International Trade Theory

Econ 118 – International Economics www.jamesonestrada.com

REFERENCES A. BOOKS AND E-BOOKS Appleyard, Dennis R., et al., INTERNATIONAL ECONOMICS, 5th Edition, McGraw-Hill Education, Philippines, 2006 Bornskov, Christian, BASIC OF INTERNATIONAL ECONOMICS, Ventus Publishing, 2005 BUCKLING UP FOR APEC INFORMATION MANAGEMENT FOR GLOBAL COMPETITIVENESS, National Security Training Center Development Programme New York, 1997. Carbaugh, Robert J., INTERNATIONAL ECONOMICS, 13th Edition, South-Western Cengage Learning, Mason, USA, 2011 Copeland, L., EXCHANGE RATES AND INTERNATIONAL FINANCE, 5th Edition Prentice Hall, USA, 2008 Dunn, Robert M. and Mutti, John H., INTERNATIONAL ECONOMICS, 6th Edition, Routledge Taylor and Francis Group, New York, 2004 Fajardo, Feliciano R., INTERNATIONAL ECONOMICS, Rex Book Store, Philippines, 1998 Hermoso, Reuel R., AN INTRODUCTION TO ECONOMICS AND ECONOMIC DEVELOPMENT ISSUES IN THE PHILIPPINES, Bookmark Inc., Philippines, 1997 Krugman, Paul , et al. INTERNATIONAL ECONOMICS THEORY AND POLICY, 12th Edition, Pearson Education Inc, USA 2012 Macaranas, Federico M. (editor) APEC and the Philippines APEC Substantive Group Department of Foreign Affairs, 1996, Philippines Salvatore, Dominick, INTERNATIONAL ECONOMICS, 3rd Edition, McMillan Publishing Company, 1990 B. ONLINE SOURCES www.economist.com www.worldbank.org www.imf.org www.un.org www.wto.org www.wto.ru www.nscb.gov.ph http://customs.gov.ph/

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INTERNATIONAL ECONOMICS WORKTEXT

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