International Relations 101 (#27): Absolute Advantage and Trade
Вставка
- Опубліковано 4 лис 2012
- gametheory101.com/courses/inte...
Why do states engage in trade? One reason might be because some states are just better at producing goods than other states. This lecture uses the California wine and Mexican tequila industries as an example. California has a good climate for grapes; Mexico has a good climate for agave (the plant that tequila is made from). Naturally, it makes sense for California to make wine and Mexico to make tequila.
But is trade still viable when there aren't the obvious advantages? The answer is yes, and we will look at that case in the next video.
Absolute advantage and trade? More like “Some of the most helpful videos ever made!” Thanks again, for everything.
They were more or less redos with a better microphone. I did comparative statics on penalty kicks and also the rule about two player, finite, symmetric, zero-sum games. That was about all the new stuff.
Were you just redoing some of them? Because I've watched almost all of your videos and I remember watching ones about the same things you have been posting lately.
I can understand that consumption rate for tequila in cal and wine in mex went up because now, as they are chepear to produce, they are also cheaper to buy but I don't see any reason for consumption rate of wine in cal and tequila in mex to go up. actually, it should go down because there are less of them now and the producers would want to charge more.
Had to finish Game Theory 101 first.
been awhile! thanks!