Minutes session 1
Group 12
September 1
1998

Task 1: Why International Economics

Difficult words

Commodity market: goods market
Markedly: difference, you can separate it

Problem Statements

1.    What are 'mixing' regulations?
2.    What do the graphs mean and how do they relate to each other?
3.    What economic barriers are there?
4.    What are the effects of trade on the well-being of p= roducers, consumers and the two nations? (Last sentence of task 1)

Discussion

1.    There are direct and indirect trade barriers. A quota is a direct one, technical standards is an example of an indirect barrier.
2.    If demand is higher than the supply of a commodity the difference could be import.
       The price is higher in the US due to living standards and trade barriers.
3.    A custom duty are fees that have to be paid for a commodity that passes the customs.
       Taxes, social barriers, like wealth, living standards or ethics.
4.    This depends on the perspective. A producer in one country can be better of than a producer in another country.
       It is decided that the term well-being will be read as well-fare. This because this term is a economical measurable term.

Learning Goals

1.    What are 'mixing' regulations?
2.    What do the graphs mean and how do they relate to each other?
3.    What are trade barriers and what kind of trade barriers are there?
4.    What is the influence on the well-fare of consumers, producers and the two nations with respect two trade barriers?

Task 2: Why everybody trades

1.    What is a comparative advantage?
2.    What is the solution to the problem in the task, make a table?

By: Stijn Brocker
[email protected]