About This Chapter
Basics of International Economics - Chapter Summary
The lessons within this chapter examines fundamental concepts within the subject of international economics, providing you with a solid foundation of knowledge to apply in the classroom. Topics fleshed out include:
- Comparative and absolute advantage
- Specialization and exchange
- Trade protectionism and exchange rates
- The global economy
- National and international trade policies
With both a video and transcript of the content included with each lesson, you'll be able to choose the mode of learning you're most comfortable with. After every lesson, you can make sure you understood the material by means of a practice quiz that can be taken and re-taken at your discretion.
1. Comparative Advantage, Specialization & Exchange
Companies and individuals are often faced with the question of, 'What should we do?' This lesson examines comparative advantage, a valuable economic concept that helps firms and people determine how to focus their efforts.
2. Differentiating between Comparative and Absolute Advantage
International trade is embraced by countries due to many benefits. In this lesson, we will discuss the differences between comparative and absolute advantage and the importance of specializing in production.
3. Advantages and Disadvantages of Trade Protectionism
Countries want to win the game of international trade by exporting more than they import. Some countries pursue trade protectionism to do this. In this lesson, you'll learn about the advantages and disadvantages of this strategy and related concepts.
4. Exchange Rate: Determination and Conversion Across Countries
Understand what exchange rates are and the different types that can be used by governments and countries. See how they operate and how the conversion process works across countries.
5. The Global Economy: Advantages, Expansion & Impact
This lesson will explain the concept of economic globalization. We will look at both its positive and negative effects while also highlighting the terms 'import,' 'export,' and 'capital flight.'
6. National Trade Policies: Economic Impact & Market Share
This lesson will explain national trade policies. In doing so, it will highlight reciprocity and most-favored-nation status. It will also explain non-tariff restrictions and market share.
7. International Trade Regulations & Restrictions
Importing and exporting are vital elements to a healthy U.S. economy. Businesses should be familiar with international laws regarding trade. This lesson defines imports and exports and discusses international trade regulations and restrictions.
Earning College Credit
Did you know… We have over 200 college courses that prepare you to earn credit by exam that is accepted by over 1,500 colleges and universities. You can test out of the first two years of college and save thousands off your degree. Anyone can earn credit-by-exam regardless of age or education level.
To learn more, visit our Earning Credit Page
Transferring credit to the school of your choice
Not sure what college you want to attend yet? Study.com has thousands of articles about every imaginable degree, area of study and career path that can help you find the school that's right for you.
Other chapters within the MTTC Social Studies (Elementary) (105): Practice & Study Guide course
- Social Science Basics
- Social Science Inquiry & Research
- Historical Text & Information Analysis
- Early Civilizations & Cultures
- Contributions & History of Ancient Greece
- Rise of the Roman Republic
- Development of Religions
- Islamic Culture
- Fall of the Roman Empire
- Ancient China
- Early Civilizations in the Americas
- Feudalism in Europe & the Early Middle Ages
- Renaissance & Reformation
- European Expansion (1450-1750)
- Scientific & Political Revolutions Since 1700
- European Imperialism
- Settling North America & the Colonies
- Events & Leaders of the American Revolution
- Early Evolution of American Government
- 19th Century American Expansion & Reform
- The American Civil War
- After the Civil War: Reconstruction
- American Industrialization of the Late 19th Century
- American Imperialism
- A World at War - WWI
- 1920s America
- America and the Great Depression
- Significant Events of World War II
- Post-WWII World Cultures & Politics (1946-1959)
- Developments & Movements Since 1945
- Events & Presidents During the Cold War (1950-1973)
- Michigan History
- Basic Geography Concepts
- Effects of Humans on the Environment
- Human Systems & Culture
- Geography of the Eastern Hemisphere
- Geography of the Western Hemisphere
- Impact of Politics on Geography
- Inter-Continental Organizations
- International Treaties, Agreements & Organizations
- Government & Political Systems
- Important Speeches & Documents in US History
- US Government, Political Process & Citizenship
- History of Political Parties in the U.S.
- US Policy Making
- US Legal System & Landmark Supreme Court Cases
- Business and the Economy
- Analyzing Democratic Values
- MTTC Social Studies (Elementary) Flashcards