International & Development Economics

Globalization is the increasing integration of economies worldwide through trade, investment, technology, and the movement of people.

Protectionism is government policy that shields domestic industries from foreign competition using tariffs, quotas, and subsidies.

Dumping is when a country or firm exports a product at a price below its cost or its home-market price to gain foreign market share.

The WTO is an international body that sets the rules for global trade and helps settle trade disputes between countries.

Purchasing power parity is the idea that exchange rates should adjust so a basket of goods costs the same across countries.

GNP is the total value of goods and services produced by a country's residents, wherever in the world they produce them.

Foreign direct investment is when a firm or individual from one country builds or buys business operations in another country.

The Human Development Index is a composite measure of a country's development based on income, education, and life expectancy.

A developing economy is a country with lower average income, less industrialization, and lower living standards than developed nations.

The Heckscher-Ohlin model predicts that countries export goods that intensively use their relatively abundant factor of production and import goods using their scarce factor.

The Rybczynski theorem says that, at constant prices, increasing one factor's endowment raises output of the good using it intensively more than proportionally and reduces output of the other good.

The Prebisch-Singer hypothesis argues that the long-run terms of trade for primary-commodity exporters tend to deteriorate relative to manufactured-goods exporters.

The Lewis dual-sector model explains development as the transfer of surplus, low-productivity labor from a traditional agricultural sector to a modern industrial sector.