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Questions and Answers
According to the course overview, what fundamental economic principle is applied to examine significant issues in international economic relations?
According to the course overview, what fundamental economic principle is applied to examine significant issues in international economic relations?
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What aspect of international economics is emphasized in the course objective, alongside factual information?
What aspect of international economics is emphasized in the course objective, alongside factual information?
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Which of the following topics is specifically listed as being covered within the course?
Which of the following topics is specifically listed as being covered within the course?
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According to the syllabus information, what potential impact do open financial flows have on governmental economic management?
According to the syllabus information, what potential impact do open financial flows have on governmental economic management?
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How many problem sets will be counted toward the final grade, assuming the student completes all assignments?
How many problem sets will be counted toward the final grade, assuming the student completes all assignments?
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What is the format of the exams in EC 340?
What is the format of the exams in EC 340?
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What is the condition to earn extra credit related to problem sets?
What is the condition to earn extra credit related to problem sets?
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Besides Tuesdays & Thursdays, what other day were Wang's office hours held?
Besides Tuesdays & Thursdays, what other day were Wang's office hours held?
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According to the document, which date is designated for Exam 2?
According to the document, which date is designated for Exam 2?
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What time is Exam 4 scheduled to begin?
What time is Exam 4 scheduled to begin?
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Which of the following topics is primarily associated with microeconomics, according to syllabus?
Which of the following topics is primarily associated with microeconomics, according to syllabus?
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According to the information provided, what can be inferred about the textbook for the course?
According to the information provided, what can be inferred about the textbook for the course?
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Based on the syllabus information, why is it important for students to thoroughly read the syllabus?
Based on the syllabus information, why is it important for students to thoroughly read the syllabus?
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Based on the information provided, what can be concluded about the difference between the U.S. annual average wage and U.S. trade?
Based on the information provided, what can be concluded about the difference between the U.S. annual average wage and U.S. trade?
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Within the context of international economics, which area focuses on determinants of the types of goods a particular country exports or imports?
Within the context of international economics, which area focuses on determinants of the types of goods a particular country exports or imports?
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If England is currently producing 100 units of wine, what is the maximum quantity of cloth it can also produce, according to its Production Possibility Frontier (PPF)?
If England is currently producing 100 units of wine, what is the maximum quantity of cloth it can also produce, according to its Production Possibility Frontier (PPF)?
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According to the information presented, what are two key ways high-wage countries can effectively compete with low-wage countries?
According to the information presented, what are two key ways high-wage countries can effectively compete with low-wage countries?
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How does the relationship between the Production Possibility Frontiers (PPFs) of England and Portugal inform us about potential gains from trade?
How does the relationship between the Production Possibility Frontiers (PPFs) of England and Portugal inform us about potential gains from trade?
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Given the Production Possibility Frontiers (PPFs) of both England and Portugal, which statement best describes the resource allocation and opportunity costs within these economies?
Given the Production Possibility Frontiers (PPFs) of both England and Portugal, which statement best describes the resource allocation and opportunity costs within these economies?
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Besides labor costs, what other factors impact a country's ability to compete in the global economy?
Besides labor costs, what other factors impact a country's ability to compete in the global economy?
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What is the primary focus of Chapter 2, according to the information?
What is the primary focus of Chapter 2, according to the information?
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What does Portugal's linear Production Possibility Frontier (PPF) indicate about the nature of resource allocation and production costs within its economy?
What does Portugal's linear Production Possibility Frontier (PPF) indicate about the nature of resource allocation and production costs within its economy?
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What concept is Paul Samuelson, Nobel laureate in economics, closely associated with, as highlighted in the text?
What concept is Paul Samuelson, Nobel laureate in economics, closely associated with, as highlighted in the text?
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What challenge do countries with outdated technology or less-skilled workers face when competing with technologically advanced nations?
What challenge do countries with outdated technology or less-skilled workers face when competing with technologically advanced nations?
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What is being exported to Switzerland in 2020?
What is being exported to Switzerland in 2020?
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Based on the information provided, what is a proposition in the social sciences that Stanislaw Ulam considered both true and non-trivial?
Based on the information provided, what is a proposition in the social sciences that Stanislaw Ulam considered both true and non-trivial?
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In countries with outdated technology, what specific strategy could help bridge the competitiveness gap with nations at the technological frontier?
In countries with outdated technology, what specific strategy could help bridge the competitiveness gap with nations at the technological frontier?
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What can be inferred about the opportunity cost of producing wine in England after the production change, relative to cloth?
What can be inferred about the opportunity cost of producing wine in England after the production change, relative to cloth?
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Considering the shifts in the production possibilities frontiers (PPFs) of England and Portugal, which statement accurately describes the comparative advantage of each country?
Considering the shifts in the production possibilities frontiers (PPFs) of England and Portugal, which statement accurately describes the comparative advantage of each country?
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How does the shift in Portugal’s production possibilities frontier (PPF) affect the relative price of wine in Portugal, assuming a move towards greater wine production?
How does the shift in Portugal’s production possibilities frontier (PPF) affect the relative price of wine in Portugal, assuming a move towards greater wine production?
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What is the implication of England’s production possibilities frontier (PPF) shifting in such a way that cloth production increases more than proportionally to the decrease in wine production?
What is the implication of England’s production possibilities frontier (PPF) shifting in such a way that cloth production increases more than proportionally to the decrease in wine production?
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How might the described changes in production possibilities frontiers (PPFs) of England and Portugal affect the terms of trade between the two countries?
How might the described changes in production possibilities frontiers (PPFs) of England and Portugal affect the terms of trade between the two countries?
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Given the shifts in the production possibilities frontiers (PPFs) of England and Portugal, which of the following scenarios is most likely to occur in international trade between the two countries?
Given the shifts in the production possibilities frontiers (PPFs) of England and Portugal, which of the following scenarios is most likely to occur in international trade between the two countries?
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If England and Portugal decide to specialize in the production of goods for which they have a comparative advantage and engage in trade, what would be the expected outcome regarding overall production?
If England and Portugal decide to specialize in the production of goods for which they have a comparative advantage and engage in trade, what would be the expected outcome regarding overall production?
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Assuming there are no other countries involved, how would the shifts in the production possibilities frontiers (PPFs) of England and Portugal affect the global price of cloth relative to wine?
Assuming there are no other countries involved, how would the shifts in the production possibilities frontiers (PPFs) of England and Portugal affect the global price of cloth relative to wine?
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Based on the Production Possibility Frontiers (PPFs) depicted, what is England's opportunity cost of producing one unit of cloth?
Based on the Production Possibility Frontiers (PPFs) depicted, what is England's opportunity cost of producing one unit of cloth?
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How many units of cloth can Portugal produce if it decides to use all of its resources to produce cloth?
How many units of cloth can Portugal produce if it decides to use all of its resources to produce cloth?
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What is the opportunity cost of producing one unit of wine in Portugal?
What is the opportunity cost of producing one unit of wine in Portugal?
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Suppose England and Portugal decide to trade. Which commodity should England export based on comparative advantage?
Suppose England and Portugal decide to trade. Which commodity should England export based on comparative advantage?
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Which of the following statements accurately describes the concept of comparative advantage illustrated in the context?
Which of the following statements accurately describes the concept of comparative advantage illustrated in the context?
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If both countries decide to completely specialize based on their comparative advantage, what would be the global production of wine and cloth?
If both countries decide to completely specialize based on their comparative advantage, what would be the global production of wine and cloth?
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How does international trade, based on comparative advantage, affect the consumption possibilities of England and Portugal, relative to their individual Production Possibilities Frontiers (PPFs)?
How does international trade, based on comparative advantage, affect the consumption possibilities of England and Portugal, relative to their individual Production Possibilities Frontiers (PPFs)?
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Suppose England and Portugal initially operate independently and consume 50 cloth and 50 wine each. After specialization and trade, which of the following consumption bundles is a feasible outcome for both countries?
Suppose England and Portugal initially operate independently and consume 50 cloth and 50 wine each. After specialization and trade, which of the following consumption bundles is a feasible outcome for both countries?
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Flashcards
Comparative Advantage
Comparative Advantage
The ability of a country to produce goods at a lower opportunity cost than another.
Exports
Exports
Goods or services sold by a country to other countries.
High-wage vs Low-wage competition
High-wage vs Low-wage competition
High-wage countries compete through technology, while low-wage countries focus on cost efficiency.
Outdated Technology
Outdated Technology
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Skilled Workforce
Skilled Workforce
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Technological Frontier
Technological Frontier
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Productive Workers
Productive Workers
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Labor Input
Labor Input
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Exam Dates
Exam Dates
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Syllabus Importance
Syllabus Importance
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Trade Benefits
Trade Benefits
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Determinants of Currency Value
Determinants of Currency Value
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Trade Imbalances
Trade Imbalances
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Short-term Currency Movements
Short-term Currency Movements
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International Trade Policies
International Trade Policies
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Annual Wage Comparison
Annual Wage Comparison
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International Economics
International Economics
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Benefits of Trade
Benefits of Trade
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Costs of Limiting Trade
Costs of Limiting Trade
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Currency Value Determinants
Currency Value Determinants
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Trade Deficits
Trade Deficits
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Openness to Financial Flows
Openness to Financial Flows
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Monetary Policy Effectiveness
Monetary Policy Effectiveness
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Fiscal Policy Impact
Fiscal Policy Impact
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Production Possibility Frontier (PPF)
Production Possibility Frontier (PPF)
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Opportunity Cost
Opportunity Cost
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Efficiency on the PPF
Efficiency on the PPF
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Inefficiency in Production
Inefficiency in Production
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Economic Growth and PPF
Economic Growth and PPF
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Shifts in PPF
Shifts in PPF
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Point on PPF
Point on PPF
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Inefficiency
Inefficiency
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Economic Growth
Economic Growth
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Trade-offs
Trade-offs
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Quantity of Cloth and Wine
Quantity of Cloth and Wine
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England's Opportunity Cost of Wine
England's Opportunity Cost of Wine
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Portugal's Opportunity Cost of Wine
Portugal's Opportunity Cost of Wine
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Opportunity Cost of Cloth in England
Opportunity Cost of Cloth in England
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Opportunity Cost of Cloth in Portugal
Opportunity Cost of Cloth in Portugal
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England's Comparative Advantage
England's Comparative Advantage
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Portugal's Comparative Advantage
Portugal's Comparative Advantage
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Study Notes
EC 340: Survey of International Economics - January 14, 2025
- Course instructor: Steven J. Matusz
- Course offered at Michigan State University
- Course covers international economic relations. It focuses on economic ideas and facts.
Course Objectives
- Utilize economic tools to explore key issues in international economic relations.
- Understand the costs and benefits of trade restrictions, trade policies, and currency values.
- Analyze trade deficits, the impacts of financial flows on monetary and fiscal policies.
Course Materials and Assessments
- Textbook recommended (International Economics, 5th edition) but not required. Alternative editions may be used
- Exams & Problem Sets
- Three of four exams (25% each)
- Five of nine problem sets (5% each)
- Exams are multiple choice/true/false.
- Problem sets may have other question types
- Exam Dates:
- Exam 1: February 11 (in class)
- Exam 2: March 25 (in class)
- Exam 3: April 24 (in class)
- Exam 4: April 29 (7:45 am - 9:45 am)
Professor Matusz Office Hours
- Tuesdays and Thursdays, 10:15 am – 11:30 am (no appointment necessary)
- 220B Marshall-Adams Hall
Wang Office Hours
- Wednesdays and Fridays, 3:00 pm – 4:00 pm
- Via Zoom
Important Topics
-
Trade:
- How countries benefit from trade
- Determinants of goods a country imports/exports
- Trade creates winners and losers
- Trade policies including international agreements
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Finance:
- Value of a country's currency (long-term and short-term)
- Trade imbalances & international borrowing/ lending
- Macro policy impact in an open economy
Additional Notes
-
Key questions to understand:
- High-wage vs. low-wage countries & competition
- Technology and skill differences & competitiveness
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Chapter 2: Trade and Technology (Ricardian Model) is a key topic introduced, covering comparative advantage.
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Mercantilism and its shortcomings.
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Comparative advantage and its implications for trade, based on production possibilities frontiers (PPF)
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Basic models like PPFs will be discussed.
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Related Documents
Description
Test your knowledge on the fundamental principles, course objectives, and exam formats related to the International Economics course. This quiz covers key topics including open financial flows, problem sets, and important dates from the syllabus. Enhance your understanding of how these elements shape international economic relations.
