INTL 1100 Lecture 8: Week 8 Lecture Notes
13 Mar 2017
School
Department
Course
Professor
Document Summary
Study of how politics affects economics and economics affects politics. 3 main theoretical traditions of ipe: mercantilism, liberalism, marxism. Complements realism very well: concerned with relative gains (rate of gain) Inherently protectionist: export as much as possible while importing as little as possible (to keep a positive balance of trade- don"t want a lot of $ leaving country but more coming in) Used to be gold and silver as currency: imports have to be paid for with precious metals. Spain caused massive in ation after south american conquests (because of the large amounts from their colonies) Protect infant industries: tariffs- duties on imported goods. Ex: tariff on steel from china to protect low prices from us: subsidies- payments to producers of goods. Ex: high gov"t subsidies on corn and wheat (protect us farmers from imported. Friday, march 3, 2017 food so it keeps prices low) Continues in the form of non tariff barriers: tax breaks, health and safety guidelines.
