This book provides a comprehensive discussion of the economics of
International Trade.Key questions related to why countries trade,
how they gain from trade, and how international trade can produce
winners and losers are answered. The last of these questions is
related to the connection of trade to inequality in the
distribution of income.The book uses both theoretical models and
empirical evidence to answer these questions. It also provides a
discussion of the economics of labor migration and international
capital mobility. The book also provides a detailed discussion of
the welfare implications of various trade policy instruments such
as tariffs, quotas, export subsidies etc. This is followed by a
discussion of the process of actual policymaking in democratic
societies which goes into the realm of political economy. The focus
here is on the political economy of trade policy. It also provides
a discussion of the economics of preferential trading agreements
and a history of multilateral trading agreements under the aegis of
GATT (General Agreement on Tariffs and Trade) and its evolution
into the World Trade Organization (WTO).
General
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