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econ mid

Answer the following question each individually.

1.    What does the trade-to-GDP ratio indicate about an economy? Why does a smaller country, such as Luxembourg, generally have a larger trade-to-GDP ratio?
2.    Describe one evidence to support the idea that economies open to the world economy grow faster than economies that are closed.
3.    If international institutions, such as the IMF, World Bank, and WTO did not exist, we would create them. Please discuss.
4.    Why do mercantilists believe that international trade is a source of conflict rather than cooperation? Do you think that the Trump Administration has pursued mercantilist approach to the economy and global trade system?
5.    Critically assess the liberal view that international trade is a positive-sum game in which all nations can benefit.

Please do not cite any resources.

 

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