Essay: International Trade (Auto-Feedback)
The two predominant approaches to the study of international political economy—mercantilism and liberalism—have very different understandings of the nature and benefits of global trade.
Imagine a country was negotiating a new trade agreement that involved substantial concessions on the part of the state. Economists analyzing the agreement concluded that it would generate about $5 billion in new economic activity in your country each year, and would generate $10 billion in additional economic activity for each of the other states involved in the agreement (which are political allies but economic rivals).
Compare and contrast the positions likely taken by mercantilists and liberals with respect to the hypothetical trade agreement. What arguments would each make to support or oppose the agreement?
To help ensure the auto-feedback system will function properly, your response must contain a minimum of 100 words and a maximum of 1000 words, though individual prompts or your instructor may provide a more precise target range for word count. Your response will be automatically reviewed by the system, and you will receive your grade after your instructor reviews and returns the scores. Your response should not contain in-text parenthetical citations or other special headers or formatting.
Imagine a Free Trade Area of the Americas that would join Canada and the United States with Latin American countries, where wages are lower and technology is less developed. Which U.S. industries do you think would gain from such a trade area? Specifically, do you think labor-intensive industries or high-technology industries would be winners? Why?
(Minimum of 160 words)
( ONE PARAGRAPH)