DEV7008-B – Bradford – International Economics Questions

Questions:

1. What is the relationship between international trade and economic growth? Your answer should be well supported by theory and empirical literature. Also provide country examples (specific country or multi-country) in support of your arguments.
2. How do the trade policies of developed countries affect the ability of less developed countries to benefit from greater participation in world economy? How do nontrade domestic economic policies of rich nations affect the export earnings of developing countries?
3. Discuss the relative advantages and disadvantages of flexible exchange rates, fixed exchange rates and currency union. Your answer should be well supported by literature and country examples.
4. Does international trade lead to reduction in poverty? Examine this in detail using both theory and empirical evidence citing literature and country examples. Your answer should provide the circumstances under which trade may or may not lead to poverty reduction.