PSC 100 Study Guide - Final Guide: Multinational Corporation, Comparative Advantage, International Monetary Fund
Document Summary
Review for final (exam date: thursday, may 5, 12:00-1:50 pm) Assigned readings: ethridge and handelman, chapters 16, 17 and 10-15 (skim) International relations: a branch of political science, dealing with interactions that have consequences beyond national boundaries. Nation state level: national sovereignty is an ultimate power or the power to make decisions that can"t be overruled. The conditions of decision making process: two theories, (1) game and (2) utility theory. Both provide mathematical tools to determine the best possible decisions and strategies for each decision maker. Both theories provide a tool that enables rational actors to compute to optimum strategy that they ought to pursue based on utility maximization. The decision maker makes a decision based on the dominant strategy, a strategy that is always best for an individual no matter what others select. Precursor of war: (1) there is no single, universal explanation concerning the causes of war. (2)
