PSCI 152 Lecture Notes - Lecture 7: Oligopoly, Hegemonic Stability Theory, Doha Development Round
31 May 2018
School
Department
Course
Professor
PSCI 152 First Midterm Review
Intro
British vs American Schools of IPE- British is NORMATIVE where as
Hegemonic stability theory- More likely to remain stable when a single world state is dominate
Liberalism- no barriers, the market will regulate itself (Trade w/o protection
Marxism- The laborers need to be able to own the means of production. Capitalism is ultimate create
inquealits
Mercanitilism- Trade generates wealth and protections
WTO-world trade organization
Decision making- in the beginning, all parties have a say but in the end it
Dispute settlement- Country appeals to board about and The panel of people from country judge on the
disputes of other countries. The board gives the country a verdict and may have to pay a fine or change
policy
Tit for Tat- If country A breaks a rule than other countries can break rules towards country A
Doha Round- Still in progress developing are fighting for more influence and aid in development
RTA- Reciprocal Trade agreements (Free trade and Custom Unions)
Customs Union- group that work together
Trade creation- policies that create trade (reducing tariffs)
Trade diversion- policies that reduce trade (tariffs, import limits and export subsidies)
Uruguay Round- How the WTO came into being, established everthing. Before there was only the GATT
Developing countries and the world trade system
Prisoner's dilemma/trade cooperation
Enforcement problems in intl trade
How the WTO serves to alleviate these problems
Retaliation trade in trade policy- allows countries to punish non-compliant countries
General agreement on tade in services (Gats
Most favored Nation- All countries should be treated roughly equally, there is no most favored nation
RTAs somewhat go against MFN. The stipulation is they cant worsen the situation for countries
outside the agreement
GSP- generalized system of preferences- developing countries get preference
Natl tratment
Nondiscrimination
Nontariff barriers:technical barriers, subsidies, quotas
Protectionism
Society Centered Approach to IPE
Society centered approach- focusing on industries and interest groups
Comparative advantage- being able to produce a good at a lower cost than someone else
Domestic interests and trade preferencers
Collective action problem- only one person wants to do the work
Free Riding- getting benefits but not contributing
Factor endowments.- Resources that a country has: Labor & Capital. Labor= population and wage,
Capital= investments, real estate, ie. This determines the competitive advantage.
Factor vs Sectoral models
State centered approach
find more resources at oneclass.com
find more resources at oneclass.com
Document Summary
British vs american schools of ipe- british is normative where as. Hegemonic stability theory- more likely to remain stable when a single world state is dominate. Liberalism- no barriers, the market will regulate itself (trade w/o protection. Marxism- the laborers need to be able to own the means of production. Decision making- in the beginning, all parties have a say but in the end it. Dispute settlement- country appeals to board about and the panel of people from country judge on the disputes of other countries. The board gives the country a verdict and may have to pay a fine or change policy. Tit for tat- if country a breaks a rule than other countries can break rules towards country a. Doha round- still in progress developing are fighting for more influence and aid in development. Rta- reciprocal trade agreements (free trade and custom unions) Trade creation- policies that create trade (reducing tariffs)
