Describe how differences between world prices-domestic prices prompt exports-imports.

List and discuss several key facts about international trade.

Define comparative advantage, and demonstrate how specialization and trade add to a nation’s output.

Describe how differences between world prices and domestic prices prompt exports and imports.

Analyze the economic effects of tariffs and quotas.

Analyze the validity of the most frequently presented arguments for protectionism.

Identify and explain the objectives of GATT, WTO, EU, Eurozone, and NAFTA, and discuss off shoring and trade adjustment assistance.

Explain how currencies of different nations are exchanged when international transactions take place.

Analyze the balance sheet the United States uses to account for the international payments it makes and receives.

Discuss how exchange rates are determined in currency markets that have flexible exchange rates.

Describe the difference between flexible exchange rates and fixed exchange rates.

Explain the current system of managed floating exchange rates.

Identify the causes and consequences of recent U. S. trade deficits.

Describe how the World Bank distinguishes between industrially advanced countries (high-income nations) and developing countries (middle-income and low-income nations).

List some of the obstacles to economic development.

Explain the vicious circle of poverty that afflicts low-income nations.

Discuss the role of government in promoting economic development within low-income nations.

Describe how industrial nations attempt to aid low-income countries.