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PROJECT DESCRIPTION –
??Objective: Select a country of your interest and investigate how it trades with other countries looking for application ofthe trade theories we learned in class.
COUNTRY SELECTED: CHINA
??You project report is 7 pages long (use page numbers). You should cite your sources properly. You may include tables or figures which are added to the length of the project. Organize your report using the 4 sections listed below which are the aspects you should include in your report for a total of 100
points:
1. (30pt)Report characteristics of your country (at min location, population and GDP/person) and identify:
o resource endowment (this may be common knowledge or just your criteria)
o comparative and absolute advantages (according to your criteria)
o trade agreements if any (you do not need to explain these, just list them)
2. (20pt)Report the values of the balance of payments or the current account (a table is good enough). Comment on
o Current account deficit/surplus
o Trade deficit/surplus
o International investment position of the country
3. (20pt) Consider the TOP EXPORT PARTNER of your country and report:
o What product is your country exporting to its partner,
o Quantities traded and/or amount in dollars.
Consider the TOP IMPORT PARTNER of your country and report:
o What product is your country importing from its partner,
o Quantities traded and/or amount in dollars.
4. (30pt) Explain in your own words whether the trade characteristics of your selected country (points 1 to 3 above)
o Why the countries trade with each other from an import and an export perspective.
o Which trade theory you think applies in your country case
o Do or do not match what you have learned in class
Please Note, These are the theories we have already covered in class:
-The basics of trade; Adam Smith & Ricardo?s theory of trade
-H-Ohlin model of trade
-Intra industry trade & gravity theory
-Tariffs & quotas
-VERS, Dumping & export subsidies
-Barriers to trade
-Balance of Payments & International investment position
-Exchange rates
-Exchange rates policies
(PLEASE KEEP THIS IN MIND WHILE ADDRESSING THE ABOVE POINTS IN THE 4 SECTIONS)
IMPORTANT NOTE: PLEASE ANSWER EVERYTHING FULLY. PLEASE DO NOT USE COMPLICATED SENTENCE STRUCTURE AND VOCABULARY.
The following sites are recommended for use in research:
The World Trade Organization ? WTO- http://www.wto.org/
U.S. Department of Commerce: http://www.commerce.gov/
The Bureau of Economic Analysis: http://www.bea.gov/index.htm
U.S. International Trade Administration: http://trade.gov/
IMF (globalization of trade): http://www.imf.org/external/np/exr/key/global.htm
Food & Agricultural Organization of The United Nations: http://faostat.fao.org/site/291/default.aspx
The Federation of International Trade Associations: http://fita.org/countries/la.html
The Peterson Institute for international economics: http://www.iie.com/
The CIA world fact book: https://www.cia.gov/library/publications/the-world-factbook/index.html
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