INTERNATIONAL TRADE - ECON 4431W

Textbook: INTERNATIONAL ECONOMICS by Appleyard and Field (9th edition; McGraw Hill)

3. Define the economics terms listed below. (Your answers should be concepts and trade theories explained with diagrams, if needed)

a. Input-output ratio;

b. Unit labor requirement

c. Absolute Advantage

d. Theory of Absolute Advantage

e. Comparative advantage

f. Theory of Comparative Advantage

g. Export Condition

h. Consumption gains from trade

i. Production gains from Trade

j. Offer Curves