Principles of Microeconomics - Chapter 9: International Trade

In this video, I discuss the basics of international trade. The consumer and producer surplus implications are discussed along with the impacts of import tariffs and quotas. Consumer and producer surplus without trade (autarky) 1:41 An exporting country (world price higher than autarky price) 5:44 CS and PS before trade 9:05 CS and PS with trade 10:05 An importing country (world price lower than autarky price) 14:03 CS and PS before trade 16:43 CS and PS with trade 17:33 The effects of a tariff 22:24 CS and PS before tariff 27:12 CS and PS with a tariff 28:33 Deadweight loss of the tariff 32:45 The effects of an import quota 36:02 Other benefits of free trade 41:29 Possible arguments against free trade 50:00 Dr. Azevedo Department of Economics and Finance University of Central Missouri