Lesson 7: International Trade: Political Agreements
Take-home point: Trade is affected by a number of political factors and considerations, and the "most efficient" result is sometimes ambiguous and does not always prevail.
- Review of assignments and readings.
- What is international trade? How and why do governments get involved?
- What are trade agreements?
- Rodrik's trilemma revisited.
- Class discussion of five case studies:
- Case 1: MTBE and NAFTA
- Case 2: PhRMA and generic AIDS drugs
- Case 3: European Common Agricultural Policy
- Case 4: Korean movie industry and Hollywood
- Case 5: Buy American provisions
- Wrap-up and quick evaluation.