Before Class on Tuesday, 10/12
Watch (14:27): Blumberg (2013) (see notes)
Read: Lumen Learning “Absolute and Comparative Advantage” & “Comparative Advantage and Gains from Trade”
Before Class on Thursday, 10/14
Have tried or completed all of Weekly Review 6
Material Links
Blumberg, Alex. (2013) “Planet Money Makes a T-Shirt.” Planet Money. NPR. https://apps.npr.org/tshirt/#/title
Lumen Learning “Absolute and Comparative Advantage” https://courses.lumenlearning.com/wm-macroeconomics/chapter/absolute-and-comparative-advantage/ & “Comparative Advantage and Gains from Trade” https://courses.lumenlearning.com/wm-macroeconomics/chapter/reading-absolute-advantage-2/
Notes on Blumberg:
Prioritize “People,” “Boxes”, and “You” if you have to skip some chapters but they are all very engaging and highly encouraged!
Time Breakdown by Chapter :
Intro (0:45)
Cotton (02:32)
Machines (01:33)
People (06:21)
Boxes (01:37)
You (01:40)
1. What if one country has access to all products and resources, will they still trade with other countries?
2. I leaned that in regards to international trade, there are two concepts, absolute advantage and comparative. Comparative advantage is when you can produce a good at a lower opportunity cost than another country can and absolute advantage is when a country can produce a good with fewer resources than other countries.
3. My favorite part of international trade is that all counties mutually exchange, if they’re poor countries or not they still benefit from each other.