Voyevodins' Library _ "International Business: Competing in the Global Marketplace" / Charles W.L. Hill ... Chapter 5 ... currency speculation, currency swap, currency translation, current account, current account deficit, current account surplus, current cost accounting, current rate method, customs union, D'Amato Act, deferral principle, democracy, deregulation, diminishing returns to specialization, dirty-float system, draft, drawee, dumping, eclectic paradigm, e-commerce, economic exposure, economic risk, economic union, economies of scale, ecu, efficient market, ending rate, ethical systems, ethnocentric behavior, ethnocentric staffing, eurobonds, eurocurrency, eurodollar, European Free Trade Association (EFTA), European Monetary System (EMS), European Union (EU), exchange rate, exchange rate mechanism (ERM), exclusive channels, expatriate failure, expatriate manager, experience curve, experience curve pricing, export management company, Export-Import Bank (Eximbank), exporting, externalities, externally convertible currency, factor endowments Voevodin's Library: currency speculation, currency swap, currency translation, current account, current account deficit, current account surplus, current cost accounting, current rate method, customs union, D'Amato Act, deferral principle, democracy, deregulation, diminishing returns to specialization, dirty-float system, draft, drawee, dumping, eclectic paradigm, e-commerce, economic exposure, economic risk, economic union, economies of scale, ecu, efficient market, ending rate, ethical systems, ethnocentric behavior, ethnocentric staffing, eurobonds, eurocurrency, eurodollar, European Free Trade Association (EFTA), European Monetary System (EMS), European Union (EU), exchange rate, exchange rate mechanism (ERM), exclusive channels, expatriate failure, expatriate manager, experience curve, experience curve pricing, export management company, Export-Import Bank (Eximbank), exporting, externalities, externally convertible currency, factor endowments


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Chapter 5 Outline

Critical Discussion Questions

  1. Do you think the US government should take human rights considerations into account when granting most favored nation trading status to China? What are the arguments for and against taking such a position?

  2. Whose interests should be the paramount concern of government trade policy--the interests of producers (businesses and their employees) or of consumers?

  3. Given the arguments relating to the new trade theory and strategic trade policy, what kind of trade policy should business be pressuring government to adopt?

  4. You are an employee of a US firm that produces personal computers in Thailand and then exports them to the United States and other countries for sale. The personal computers were originally produced in Thailand to take advantage of relatively low labor costs and a skilled work force. Other possible locations considered at the time were Malaysia and Hong Kong. The US government decides to impose punitive 100 percent ad valorem tariffs on imports of computers from Thailand to punish the country for administrative trade barriers that restrict US exports to Thailand. How do you think your firm should respond? What does this tell you about the use of targeted trade barriers?
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