International economicsTarget: understand the reasons of the economic phenomenon.Subject 1: 国际贸易理论的微观基础Subject 2: 古典贸易理论重商主义MercantilismThe government controls the trade to ensure the capital of the country will not go to the others countries. They will accumulate the gold and silver, give export subsidies, make a high tariff, maximizing the use of domestic resources.依靠贸易顺差限制了贸易的发展2.亚当·斯密的自由贸易思想Adam SmithThe invisible hand: first coined by Adam Smith. It means that the self-regulating nature of the market. People all want to maximize their own gains, and it will benefits the whole society.❖Smith think:If one country has the absolute advantage of a production, it has less cost than other countries, this country should focus on this production, and gain profit from trade.e.g. the Needleman buy shoes from a shoe-maker, and the shoe-maker engages the Needleman to make cloth for him.（三）大卫李嘉图的比较优势理论Comparative AdvantageThe comparative advantage refers to the ability of a country to produce a particular good or service at a lower opportunity cost. Even if one country is more efficient in the production of all goods (absolute advantage) than the other, both countries will still gain by trading with each other, as long as they have different relative efficiencies.评价：❖Adam Smith explained the base of the trade by the cost of production. And Ricardian demonstrated that the different of labor costs is the determinant of trade, and all countries will gain profit from the trade.❖Using labour as the only input.Subject 3: 要素禀赋理论要素禀赋The factor-proportions theoryThe theory states that a country’s comparative advantage is determined by its initial resource endowments.Capital intensive 资本密集型K/L 高Labor intensive 劳动密集型K/L 低Capital-to-labor ratio(k/l) 资本劳动比Subject 4: 特定要素理论Subject 5: 规模经济、不完全竞争与国际贸易Scale economics: The scale of production increases, the efficiency of the production will increase, and the cost of each product will decrease.Why the scale economics is the cause of trade: 1. each country can produce limited category of products by the scale economics.2. through international trade, increase the types of goods available for consumption. Imperfect competitionForms of imperfect competition include:•Monopoly垄断, in which there is only one seller of a good.•Oligopoly寡头垄断, in which there are few sellers of a good. •Monopolistic competition, in which there are many sellers producing highly differentiated goods.•Monopsony, in which there is only one buyer of a good.•Oligopsony, in which there are few buyers of a good.Information asymmetry when one competitor has the advantage of more or better information.If there are more sellers in the market, the average cost of the product will be higher. If there are more sellers in the market, the price of the product will be lower.And if there are more sellers, more kinds of products, the customers will gain more benefit.Subject 6: 国际要素流动——见投资Subject 7: 国际贸易政策——见关税配额出口补贴Subject 8: 区域经济一体化与关税同盟理论一、区域经济一体化的形式❖包括以下五种形式：自由贸易区free trade areaA trade bloc whose member countries have signed a free-trade agreement (FTA), which eliminates tariffs, import quotas, and preferences on most (if not all) goods and services traded between them.关税同盟customs UnionA customs union is a type of trade bloc which is composed of a free trade area with a common external tariff. The participant countries set up common external trade policy, but in some cases they use different import quotas.共同市场common marketThe freedom of movement of the factors of production and services, the participant countries have the same tariff barrier to other countries.经济联盟economic unionThe have both common policies on product regulation, freedom of movement of goods, services and the factors of production (capital and labour) and a commonexternal trade policy. The countries often share a common currency.完全的经济一体化economic integrationEconomic integration refers to trade unification between different states by the partial or full abolishing of customs tariffs on trade taking place within the borders of each state. This is meant in turn to lead to lower prices for distributors and consumers (as no customs duties are paid within the integrated area) and the goal is to increase trade.Subject 2: 外汇市场The foreign exchange market (forex, FX, or currency market) is a global, worldwide-decentralized financial market for trading currencies. The foreign exchange market assists international trade and investment, by enabling currency conversion. The foreign exchange market is the most liquid financial market in the world. Traders include large banks, central banks, institutional investors, currency speculators, corporations, governments, other financial institutions, and retail investors.外汇市场的功能国际清算(International Clearing)国际信贷(International Credit)套期保值(Hedging)：A hedge is an investment position intended to offset potential losses that may be incurred by a companion investment.外汇投机(Foreign Exchange Speculation)Exchange PriceForeign exchange rate: exchange rate between two currencies is the rate at which one currency will be exchanged for another. It is also regarded as the value of one country’s currency in terms of another currency.Quotation直接标价法(Direct Quotation) : 1 foreign currency unit = x home currency unitse.g. 1 美元=8.27人民币，则汇率上升表示外币升值，本币贬值。