Chapter 2

• If DW(US+UK) intersected SW(US+UK) at Pw/Pc=2/3 and 120W in the left

=/
①
panel of Figure 2.3, what happens to specialization pattern? Suppose
that UK exchanges 20C for 30W with US. How the gains from trade are
distributed? P4pw=3z

°=T7
Swlvstuk )
" " UK )

-
- -
-
- - - -
- -

I
:

!
Dccustuk )
i
Dwcusarg Uk .

-
,

120 Be
 to
US : imperfect specialization ( produce .
.
Row and 40 C )
V. K : perfect specialization . ( produce 120C )

20C C-2 30W

EE
"

0•B¥owqazoc
ion after "

B,
"

Er
specialization .

Gains
=

sumption after
' -

Eon
-

trade
•
-

.
.

. - .
-
- • B .

(
30W I

⑥
I

US =
gains
No from trade .

UK :
from trade
 *
partial equilibrium
-

-
General equilibrium .

Chapter 4
Terms of trade
(교역조건)
• The terms of trade is defined
as the ratio of the price of
exports to the price of
imports.

Terms of Trade = PEx / PIm

TOT to

Pex I
[
PIM 4
Evolution of the Terms of Trade for the United States and China
(1980–2011, 2000 = 100)
Terms of Trade for selected countries – OECD statistics

11
.
 Shipping industry
Crude oil price
.

transportation a .

to
Exercise questions – Terms of Trade
a. Crude oil price has increased during 2000 – 2008. Explain the effect of changes in
petroleum prices on the terms of trade for Korea during the same period.
b. Crude oil price has decreased $108 to $40 during 2014 – 2016. Explain the effect of
changes in petroleum prices on the terms of trade for Korea during the same period.
c. If there is a deterioration of terms of trade, what happens to the welfare of the
economy?
Pex b → To Tb ⇒ welfare effect f).
H )
⇒ QEXP
I. 국제유가가 2000년-2008년 사이 증가하였다. 이러한 유가의 변화가 동기간 한국의 교역조건에
어떻게 영향을 주었는지 설명하시오. Oil to → PIMP → To Tt
price
II. 국제유가가 2014년-2016년 사이 $108 에서 $40 로 하락하였다. 이러한 유가의 변화가 동기간 한
국의 교역조건에 어떻게 영향을 주었는지 설명하시오. oil → Rmb -7 To
price b Tp
III. 교역조건이 악화되면 국가의 후생에 어떤 영향을 미치게 되는지 설명하시오.
PIMP → To Tf ⇒ welfare effect C j -

PIM f → To TT ⇒ welfare "

L t ) IC )
-
 Partial Equilibrium Analysis with Commodity Y
(Increase demand in Nation 1) CNI )
me
D shifts to the right .
,

↳
iii.
Px Py Rs
Tox Tx Px

i:*iii.
.
"
:÷*÷:÷i÷÷÷¥
I

NI International Trade Nz
Chapter 5
 abundant
Leontief Paradox US K -
: .

export K -
intensive product ,

• The table below illustrates the labor and capital input for U.S. exports and import-substitutes. The "Im
ports/Exports" ratio in the rightmost column greater than 1 indicates that the capital/labor ratio for i
mported goods is higher than that of exported goods. It implies that as a capital-rich country, the Un
ited States imports capital-intensive goods. This phenomenon is known as the Leontief Paradox. Expla
in the causes of the Leontief Paradox, considering factors such as natural resources, human resources,
and other relevant factors. (within 300 words)

• 다음 표는 미국의 수출상품 및 수입대체상품의 노동투입량과 자본투입량을 나타내고 있다. 가장 오른쪽

열의 “수입/ 수출” 비율이 1보다 크다는 것은, 수출상품의 자본/노동비율보다 수입 상품의 자본/노동 비
율이 더 높은 것을 의미하고, 이는 미국이 자본풍부국임에도 자본집약적 상품을 수입한다는 것을 의미한
다. 이와 같은 현상을 레온티에프 역설이라고 하는데, 레온티에프 역설이 발생하는 원인을 천연자원, 인
적자원 및 그 외 요인을 고려하여 설명하시오. (300자 이내)
 ⇒
-0 o
-

-
-
8
s
- -
-

Kravis :

C V. s )
Labor productivity
export industry > import competing
-

industry .

Ken en add human physical capital

-

= to
C education , training)
Baldwin human capital excluding
i
.
-

natural resources .

-
Learner , Stern , and Mask us .

I U.s. production and consumption .

L i -
-
• Evaluate following statement.
“ International trade with developing countries contributed to increase
wage inequality between skilled workers and unskilled workers in United
States.”
 -

Direct effect .

U.S . imports L - intensive product .

reduced demand for unskilled workers

⇒ .

-
Indirect effect

labor innovation
saving
.

demand for unskilled workers

⇒ reduce
.

"

"
skill -
biased technical changes
( FEI k¥8124 71 # LIE ) .

tech & skilled workers i

complements .
N1 L abundant X L intensive
=)
: - : -

N 2 -
-
k -
abundant .
⇒ Y : K -
intensive .

" "

demand in X ⇒ higher demand L

N1 i
higher
⇒
wage to
Y ⇒
"
K
"

demand "

higher
"
NZ
-
-
in

⇒ rental price 9 demand

"
L
"

X ⇒ less
less demand in
⇒ wage to
abundant to
U.S K =) rental price
(
i - .

)
better off
⇒ capital owners are .

⇒ workers are worse off .

 I
N1 N 2

ns.msn.si:

2 → 1 C o
)

Cheaply
International factor movement .