Table of Contents
About the Author
PART I ENGINES OF GLOBALIZATION
Chapter 1 A Second Wave of
1.1 The First Wave
1.2 The Second Wave
1.3 Crisis, Peak Oil, Pirates-and De-Globalization?
1.4 The Forces at Work
Chapter 2 Should Nigeria Strive for
Self-Sufficiency in Food?
2.1 A Presidential Agenda
2.2 The Comparative Advantage Argument Formalized: Introducing the Ricardian Model
2.3 Autarky in the Ricardian Model
2.4 Free Trade in the Ricardian Model
2.5 So What Actually Happened?
2.6 Additional Insights from Ricardo's Model
Chapter 3 Why Do Americans Get Their
Impalas from Canada?
3.1 Impalas on the Horizon
3.2 Increasing Returns More Generally
3.3 How to Tackle Europe: Trade versus FDI
3.4 On a Smaller Scale: Trade and Increasing Returnsin Furniture
3.5 Adding Heterogeneity: The Melitz Effect
Chapter 4 Trade and Large
4.1 Big Players in the Game of Trade
4.2 Background on Kodak, Fuji, and the War
4.3 Introducing Oligopoly
4.6 Winners and Losers
4.7 Some Other Possibilities
Part II: Politics and Policy in the World Economy
Chapter 5 Why Did the North Want a
Tariff, and Why Did the South
Call It an Abomination?
5.1 A Cold War before the Hot War
5.2 A Pure Specific-Factors Model
5.3 The Tariff
5.4 A Constitutional Error, and the Lerner Symmetry Theorem
5.5 A Mixed Model
5.6 Specific Factors in Trade More Generally
Chapter 6 Is Free Trade a Rip-off for
6.1 The Charges
6.2 The Model with Fixed Coefficients
6.3 Supply, Demand, and Equilibrium
6.4 Trade and the Distribution of Income
6.5 Allowing Substitutability-andthe Telltale Signs
6.6 Testing the Theory
6. 7 The Upshot-with an Important Qualification
Chapter 7 Why Doesn't Our
Government Want Us
to Import Sugar?
7 .1 Sinking Lifesavers
7.2 Hypothesis I: The Terms-of-Trade Motive
7 .3 Hypothesis II: Interest Groups
7.4 Additional Observations
Chapter 8 Who Are the wro, and
What Do They Have
8.1 The Dolphin Fiasco and Other Stories
8.2 The Trade War Problem and the Needfor Coordination in Trade Policy
8.3 Problem: In an Interconnected World,All Policies Are Trade Policies
8.4 The Sham Problem
8.5 The WTO's Wobbly Tightrope Walk
Chapter 9 Should Developing-Country
Governments Use Tariffs
to Jump-start Growth?
9.1 A Silver Bullet?
9.2 The Infant-Industry Argument: Background
9.3 Learning by Doing: An InsufficientArgument
9.4 Market-Failure Arguments forInfant-Industry Protection
9.5 What Has Actually Happened?
Chapter 10 Was Ronald Reagan Punked by Japanese Automakers?AUTOMAKERS?
10.1 A Paradox of Aggressive Trade Policy
10.2 A First Attempt: A Competitive Model
10.3 Does a Cournot Interpretation Work?
10.4 Trying on a Bertrand Model
10.5 A Closer Look: Trade Policywith Cournot Oligopoly
10.6 Trade Policy with Bertrand Oligopoly
Part III: Current Controversies
Chapter 11 Should the iPod Be Made
in the United States?
11.1 Made All Over
11.2 Offshoring and Inequality:The Feenstra-Hanson Theory
11.3 Offshoring and Productivity: An Alternative Model
11.4 How Do These Theories StandUp to the Data?
11.5 Another Approach: Evidence fromAggregate Employment
11.6 A Bottom Line, Open Questions,and the Obama Critique
Chapter 12 Should We Build a Border
12.1 Calls for a Crackdown, and Callsfor Compassion
12.2 Three Theories, and One ThingThey Agree On
12.3 Three Key Pieces of Evidence
12.4 The Upshot
Chapter 13 Trade and the Environment:
Is Globalization Green?
13.1 A Disaster on a Global Scale?
13.2 Two Theories (but One Model)
13.3 The Evidence
Chapter 14 Sweatshops and Child Labor: Globalization and 1
14.1 Globalization and Child Labor
14.2 Sweatshops and Multinationals
14.3 Globalization and Human RightsMore Generally
14.4 Conclusion: Getting the Globalization You Want
Chapter 15 Is NAFTA a Betrayal of the
Poor or a Path to Prosperity?
15.1 A Competition: Who Hates NAFTA the Most?
15.2 Preferential Trade Agreements: Background and Key Principles
15.3 The Classic Trade-off: Trade Creationand Trade Diversion
15.4 Distributional Concerns
15.5 The Notorious Chapter 11
15.6 Some Issues That Affect PTAsMore Broadly
15. 7 Conclusion
Part IV: Macroeconomic Aspects of Globalization
Chapter 16 Is the Trade Deficit
a Time Bomb?
16.1 Not a Subtle Change
16.2 What Is a Trade Deficit?
16.3 Why Would a Country Runa Trade Deficit?
16.4 Can the Trade Deficit Ever Bea Problem?
Chapter 17 Trade and Exchange Rates:
Is the Renminbi the Culprit?
17.1 The Ultimatum
17.2 Basic Facts about Foreign-Exchange Markets
17.3 A Dynamic, General-Equilibrium Modelof Exchange-Rate Determination
17.4 Equilibrium Responses
17.5 Adding Nominal Rigidity