Traditional trade theory is basically a static theory of international exchange (i.e. it only focuses on...

Traditional trade theory is basically a static theory of international exchange (i.e. it only focuses on a point in time) leading to certain conclusions about the benefits likely to accrue to all participants. Explain both the limitations of this static perspective as well as the dynamic elements that are important (i.e. “dynamic” means refers to trade policy and openness over time). Please describe specific historical examples (other than the examples given in class from Korea, the US, and England) to illustrate your points about dynamic trade policy. ( Hint: the Ha-Joon Chang chapters from Bad Samaritans will help you immensely with this problem.)

Expert Solution

Rahul Sunny answered 2 years ago

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