need help assignmnt

Chapter 5 – Beyond Comparative Advantage

Krugman, “Gravity”

  1. How can we determine the probability that a citizen in one country/region wants to buy something from a citizen in another country/region?
  2. What is the Armington Assumption?
  3. What trade theories were dominant prior to “New Trade Theory”?

The Economist, “The Celestial Economy”

  1. Which countries are expected to have the largest shares of global economic power by 2030?
  2. What three forces will dictate China’s economic rise?
  3. China is expected to have about 23% of the world’s economic power by 2030. What is the likely cause of this?
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