POL 1025 Lecture Notes - Lecture 10: European Free Trade Association, Hegemonic Stability Theory, International Trade
Document Summary
Ipe- connection of politics and economics on a global scale. The quest for material security part one: theoretical perspective. Liberalism- virtue of markets, economics determine politics. All countries of the world cooperate to create institutions to promote free trade and make world a better place. Resolve distributional conflict within counties through democratic institutions. Resole distributional conflicts between counties through international insitutions. Build power, make your country more powerful, actors are states. End of free trade if this country is richer than others than okay. Essay right hand side of trade model. Winners form coalitions keep same thing, losers coalitions to overturn the losses that they are experiencing. Realist downplay the conflicts and promote relative gains and international trade. Benefits to people who are losing in trade. Tariffs take away the gains and negotiate free trade agreements but still protect some sectors. Uneven, protect some industries and don"t protect some industries. Compensation thesis- makes people more open to trade.
