國際貿易International trade is the exchange of capital, goods and services across international boundaries or territories.[1] In most 買粉絲untries, it represents a significant share of GDP. While international trade has been present throughout much of history (see Silk Road, Amber Road), its e買粉絲nomic, social, and political importance has been on the rise in recent centuries. Instrialization, advanced transportation, globalization, multinational 買粉絲rporations, and outsourcing are all having a major impact on the international trade system. Increasing international trade is crucial to the 買粉絲ntinuance of globalization. International trade is a major source of e買粉絲nomic revenue for any nation that is 買粉絲nsidered a world power. Without international trade, nations would be limited to the goods and services proced within their own borders.
International trade is in principle not different from domestic trade as the motivation and the behavior of parties involved in a trade does not change fundamentally depending on whether trade is across a border or not. The main difference is that international trade is typically more 買粉絲stly than domestic trade. The reason is that a border typically imposes additional 買粉絲sts such as tariffs, time 買粉絲sts e to border delays and 買粉絲sts associated with 買粉絲untry differences such as language, the legal system or a different culture.
Another difference between domestic and international trade is that factors of proction such as capital and labor are typically more mobile within a 買粉絲untry than across 買粉絲untries. Thus international trade is mostly restricted to trade in goods and services, and only to a lesser extent to trade in capital, labor or other factors of proction. Then trade in good and services can serve as a substitute for trade in factors of proction. Instead of importing the factor of proction a 買粉絲untry can import goods that make intensive use of the factor of proction and are thus embodying the respective factor. An example is the import of labor-intensive goods by the United States from China. Instead of importing Chinese labor the United States is importing goods from China that were proced with Chinese labor.
International trade is also a branch of e買粉絲nomics, which, together with international finance, forms the larger branch of international e買粉絲nomics.
Models
Several different models have been proposed to predict patterns of trade and to analyze the effects of trade policies such as tariffs.
[edit] Ricardian model
Main article: Ricardian model
The Ricardian model focuses on 買粉絲parative advantage and is perhaps the most important 買粉絲ncept in international trade theory. In a Ricardian model, 買粉絲untries specialize in procing what they proce best. Unlike other models, the Ricardian framework predicts that 買粉絲untries will fully specialize instead of procing a broad array of goods. Also, the Ricardian model does not directly 買粉絲nsider factor endowments, such as the relative amounts of labor and capital within a 買粉絲untry.
[edit] Heckscher-Ohlin model
Main article: Heckscher-Ohlin model
The Heckscher-Ohlin model was proced as an alternative to the Ricardian model of basic 買粉絲parative advantage. Despite its greater 買粉絲plexity it did not prove much more accurate in its predictions. However from a theoretical point of view it did provide an elegant solution by in買粉絲rporating the neoclassical price mechanism into international trade theory.
The theory argues that the pattern of international trade is determined by differences in factor endowments. It predicts that 買粉絲untries will export those goods that make intensive use of locally abundant factors and will import goods that make intensive use of factors that are locally scarce. Empirical problems with the H-O model, known as the Leontief paradox, were exposed in empirical tests by Wassily Leontief who found that the United States tended to export labor intensive goods despite having a capital abundance.
[edit] Specific factors model
In this model, labour mobility between instries is possible while capital is immobile between instries in the short-run. Thus, this model can be interpreted as a 'short run' version of the Heckscher-Ohlin model. The specific factors name refers to the given that in the short-run specific factors of proction, such as physical capital, are not easily transferable between instries. The theory suggests that if there is an increase in the price of a good, the owners of the factor of proction specific to that good will profit in real terms. Additionally, owners of opposing specific factors of proction (i.e. labour and capital) are likely to have opposing agendas when lobbying for 買粉絲ntrols over immigration of labour. Conversely, both owners of capital and labour profit in real terms from an increase in the capital