BM03a/QTO1/KT FINAL EXAMINATION 1B Academic Year: 2021-2022 ( A ) Major/Class Subject : International Economics UEF Subject Code ECO1103 A Credit: 03 Bar HOC Kin TE TAI CHiN Date of Examinatior FACULTY OF ECONOMICS Duration: 60° Exam Code : OPENED BOOK: YES Z QUESTION 1. (4 Marks) Use the information in the table below to answer the following quéstions. Country A Country D Labor forces 20 30 Capital Stock 30 50. Refer to the table above. If car is capital intensive good, then following the Heckscher-Ohlin ‘Theory. Identify the capital abundant nation, and which nation export car ? Briefly explain the H-O theorem. What are main ideas of Adam Smith — Trade based on Absolute advantage ? Explain why the uses of subsidy are on the rise in recent years and give some examples? QUESTION 2. (3 Marks) What are the negative sides of free trade? Give some ex: ‘ie S that \ Vietnam have signed in recent years? What are the benefits for members, HOR countries of European Union? want te | QUESTION 3. (3 Marks ) Explain why subsidy and Duniping are harmful for free trade. What are the main arguments for the use of non-tariff measures in trade policy? Give some examples of non-tariff barriers in international trade. Proctors are NOT allowed to explain any further information.