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Possible models: Strategic trade theory, Krugman model, Rybczynski theory, Stolper-samuelson and Heckscher-Ohlin model and the optimal tarriff theory.
a. Describe some models that forecast the effect that decreasing protection (Tariffs) will have on factor prices (Labour and capital)? Use these models to analyse the effect that reducing protection would have had on factor prices in Australia? How plausible are these models?
b. Under what circumstances can reducing protection make a country as a whole worse off? Could such models have any relevance to the Australia?
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As your think tank expands its focus to international and global economic issues, Gabe wishes you to address the following condition and make a report on globalization
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It has been estimated through the United State International Trade Commission that the Japanese automobile import restrictions during the 1980s
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The Economist reports that the interest rate per year is 5.93 percent in the United States and 70.00 percent in the Turkey,in the October 23, 1999 issue.
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