克鲁格曼国际经济学PPTch11

Chapter11ControversiesinTradePolicyPreparedbyIordanisPetsasToAccompanyInternationalEconomics:TheoryandPolicy,SixthEditionbyPaulR.KrugmanandMauriceObstfeldSlide11-2Copyright©2003PearsonEducation,Inc.ChapterOrganizationIntroductionSophisticatedArgumentsforActivistTradePolicyGlobalizationandLow-WageLaborSummarySlide11-3Copyright©2003PearsonEducation,Inc.IntroductionTwocontroversiesoverinternationaltradearoseinthe1980sand1990s.•Inthe1980sanewsetofsophisticatedargumentsforgovernmentinterventionintradeemergedinadvancedcountries.–Theseargumentsfocusedonthe“high-technology”industriesthatcametoprominenceasaresultoftheriseofthesiliconchip.•Inthe1990sadisputearoseovertheeffectsofgrowinginternationaltradeonworkersindevelopingcountries.Slide11-4Copyright©2003PearsonEducation,Inc.SophisticatedArgumentsforActivistTradePolicyTherearetwokindsofmarketfailurethatseemtobepresentandrelevanttothetradepoliciesofadvancedcountries:•Technologicalexternalities•ThepresenceofmonopolyprofitsinhighlyconcentratedoligopolisticindustriesSlide11-5Copyright©2003PearsonEducation,Inc.TechnologyandExternalities•Externalities–Firmsinanindustrygenerateknowledgethatotherfirmscanalsousewithoutpayingforit.•Inhigh-techindustriesfirmsfaceappropriabilityproblems.–Example:Inelectronics,itiscommonforfirmsto“reverseengineer”theirrivals’designs.SophisticatedArgumentsforActivistTradePolicySlide11-6Copyright©2003PearsonEducation,Inc.•TheCaseforGovernmentSupportofHigh-TechnologyIndustries–Subsidizetheactivitywithexternalities,notallactivitiesinanindustry.–Forinstance,R&D(asopposedtomanufacturing)shouldbesubsidized.•HowImportantAreExternalities?–Externalitiesarehardtomeasureempirically.–Problemsofappropriabilityatthelevelofthenation(asopposedtothefirm)arelessseverebutstillimportantevenforanationaslargeastheUnitedStates.SophisticatedArgumentsforActivistTradePolicySlide11-7Copyright©2003PearsonEducation,Inc.ImperfectCompetitionandStrategicTradePolicy•Insomeindustrieswherethereareonlyafewfirmsineffectivecompetition:–Theassumptionsofperfectcompetitionwillnotapply.–Firmswillmakeexcessreturns(profits).–Therewillbeaninternationalcompetitionovertheexcessreturns.–Asubsidyfromthegovernmenttodomesticfirmscanshifttheexcessreturnsfromforeigntodomesticfirms.SophisticatedArgumentsforActivistTradePolicySlide11-8Copyright©2003PearsonEducation,Inc.•TheBrander-SpencerAnalysis:AnExample–Thereareonlytwofirms(BoeingandAirbus)competing,eachfromadifferentcountry(UnitedStatesandEurope).–Thereisanewproduct,150-seataircraft,thatbothfirmsarecapableofmaking.–Eachfirmdecideseithertoproducethenewproductornot.SophisticatedArgumentsforActivistTradePolicySlide11-9Copyright©2003PearsonEducation,Inc.AirbusBoeing-5-50001000100ProduceProduceDon’tproduceDon’tproduceEquilibriumoutcomeisA=0andB=100:AirbusdoesnotproduceandBoeingproduces.Table11-1:Two-FirmCompetitionSophisticatedArgumentsforActivistTradePolicySlide11-10Copyright©2003PearsonEducation,Inc.AirbusBoeing20-50001000125Don’tproduceAsubsidyof25toAirbusgivenbyEuroperesultsinA=125,B=0.Table11-2:EffectsofaSubsidytoAirbusSophisticatedArgumentsforActivistTradePolicyProduceProduceDon’tproduceSlide11-11Copyright©2003PearsonEducation,Inc.•ProblemswiththeBrander-SpencerAnalysis–Insufficientinformationtousethetheoryeffectively–Theexactpayoffsofthefirmscannoteasilybeobtained.–Industriesinisolation–ApolicythatsucceedsingivingU.S.firmsastrategicadvantageinoneindustrywilltendtocausestrategicdisadvantageelsewhere.–Foreignretaliation–Strategicpoliciesarebeggar-thy-neighborpoliciesthatincreaseourwelfareatothercountries’expense.SophisticatedArgumentsforActivistTradePolicySlide11-12Copyright©2003PearsonEducation,Inc.AirbusBoeing-2050001250100Don’tproduceEquilibriumoutcomeisA=0andB=125;BoeingproducesandAirbusdoesnot.SophisticatedArgumentsforActivistTradePolicyTable11-3:Two-FirmCompetition:AnAlternativeCaseProduceProduceDon’tproduceSlide11-13Copyright©2003PearsonEducation,Inc.AirbusBoeing550001250125Don’tproduceAsubsidyof25toAirbusgivenbyEuroperesultsinA=5,B=5.SophisticatedArgumentsforActivistTradePolicyTable11-4:EffectsofaSubsidytoAirbusProduceProduceDon’tproduceSlide11-14Copyright©2003PearsonEducation,Inc.GlobalizationandLow-WageLaborTheriseofmanufacturedexportsfromdevelopingcountriesisoneofthemajorshiftsintheworldeconomyoverthelastgeneration.•Theworkerswhoproducethesegoodsarepaidlowwagesandworkunderpoorconditions.Slide11-15Copyright©2003PearsonEducation,Inc.TheAnti-GlobalizationMovement•Itbecameahighlyvisiblepresencechronologically:–1980s–AllegedthreatofcompetitionfromJapanintheUnitedStates–Early1990s–SubstantialconcerninboththeUnitedStatesandEuropeovertheeffectsofimportsfromlow-wagecountriesonthewagesofless-skilledworkersathome.–Secondhalfofthe1990s–Allegedharmthatworldtradewasdoingtoworkersinthedevelopingcountries.–1999–DemonstrationsdisruptedthemeetingoftheWorldTradeOrganizationinSeattle.GlobalizationandLow-WageLaborSlide11-16Copyright©2003PearsonEducation,Inc.TradeandWagesRevisited•Activistsarguethatglobalizationmakesworkersindeveloping-countryexp