The exports and imports tables below show the trade data collection between the United States and China from 2019. The United States and China have had a significant relationship regarding merchandise trade for years. China has been a major exporter of goods to the United States, supplying a wide range of products, including electronics, apparel, Continue reading

This essay will compare the New Trade theory (by Paul Krugman) and the Hechscher-Ohlin theory of international trade. Krugman (2018) argues that Hechscher-Ohlin’s theory is the fundamental theory of comparative advantage, stating that countries with a relative abundance of capital can export more capital-intensive goods and import labor-intensive goods. In contrast, countries with a relative Continue reading

 Concerning the I Containers (2016) article, an export industry in the United States that fits the patterns of geographical concentration driven by external economies of scale in the aerospace industry, which is mainly concentrated in Washington and California states, an example of export industries with geographic concentration supported by external economies of scale in the Continue reading

 In “Determinants of the Commodity Structure of U.S. Trade” by Robert E. Baldwin, Summary of findings: Baldwin’s work has typically focused on international trade, and in his article, he evaluated the factors that influence the composition of the U.S. trade. His findings include the following factors: Analysis of the type of goods that the U.S. Continue reading

The Ricardian model describes the trade between two or more countries through the theory of comparative advantage in which one country can specialize in producing one good and export it to another. Ricardo provided insight into why countries engage in international trade and how it leads to gains from trade. Indeed, the theory of comparative Continue reading

In the Ricardian model, trade occurs based on comparative advantage because comparative advantage is when a country can produce a good at a lower cost. We read that in the multi-good, single-factor Ricardian model, the equilibrium relative wage of Home’s workers can be determined by the relative price of the goods. In this model, we Continue reading

South Sudan underwent a brutal longest civil war with the Sudan government for over twenty years, which decreased the population. Still, after South Sudan gained independence, the population increased again because many displaced people returned to South Sudan during the longest civil war. In 2013, when South Sudan returned to its civil war again, thousands Continue reading

Many economists argue that a healthy economy promotes education and healthcare and, more importantly, increases a country’s population’s standard of living. However, that is not the case in South Sudan. The South Sudan central bank, the sanctuary reservoir of the nation, has been run by incompetent ministerial professionals who issue money out illegally to persons Continue reading

Based on the first milestone’s argument, South Sudan has encountered many challenges in determining the direction its economic development can tie to the description. As everyone might have learned from various social media and other areas, possibly from academic communication settings, South Sudan has been marginalized by the Sudan government for many decades since 1956 Continue reading

A country’s development is measured by per capita income, gross domestic product (GDP), real income and gross national product (GNP) indicators. Economic development is the process of improving the people’s standard of living and well-being in an economy. It goes beyond the expansion of people’s capabilities. It increases income per capita over time, often associated Continue reading