Question 1

Explain how state strength determines the political foundation of industrial policies by comparing Japan,France and the United States after WWII.

Accepted Answer

After World War II, the strength of the state played a crucial role in determining the political foundation of industrial policies in Japan, France, and the United States.

In Japan, the strong state played a significant role in shaping industrial policies. The government actively intervened in the economy to promote industrial development, particularly in key sectors such as electronics, automobiles, and steel. The state provided subsidies, directed credit, and coordinated industrial planning to support strategic industries. This strong state intervention helped Japan to rapidly rebuild its economy and become a global industrial powerhouse.

In France, the state also played a central role in shaping industrial policies after WWII. The government pursued a policy of dirigisme, or state intervention in the economy, to promote industrial development. The state provided support for key industries through subsidies, protectionist measures, and strategic investments. This strong state intervention helped France to rebuild its economy and establish a strong industrial base.

In contrast, the United States took a more hands-off approach to industrial policies after WWII. The American government focused on creating a favorable business environment through policies such as deregulation, tax incentives, and infrastructure investment. The state played a less direct role in shaping industrial development compared to Japan and France, relying more on market forces to drive economic growth.

Overall, the strength of the state played a crucial role in determining the political foundation of industrial policies in Japan, France, and the United States after WWII. Strong state intervention in Japan and France helped to promote industrial development and rebuild their economies, while the United States relied more on market forces to drive economic growth.

Question 2

Explain the rationale for infant industry protectionism first proposed by Alexander Hamilton in the 1790s and Fredrick List in the mid-nineteenth century.

Accepted Answer

The rationale for infant industry protectionism, as first proposed by Alexander Hamilton in the 1790s and later advocated by Fredrick List in the mid-nineteenth century, is based on the idea that developing industries in a country need protection from foreign competition in their early stages in order to grow and become competitive in the global market.

Hamilton argued that new industries in the United States needed protection from more established and advanced European industries in order to develop and become self-sufficient. He believed that tariffs and other forms of protectionism would allow American industries to grow and eventually compete on a level playing field with their foreign counterparts.

Similarly, List emphasized the importance of protecting infant industries in developing countries in order to foster economic growth and industrialization. He argued that without protection, domestic industries would be unable to compete with more advanced foreign industries and would ultimately fail, leading to economic dependence on other countries.

Both Hamilton and List believed that temporary protectionism was necessary to allow infant industries to mature and become competitive. Once these industries had reached a certain level of development and competitiveness, the protectionist measures could be gradually phased out.

Overall, the rationale for infant industry protectionism is based on the belief that nurturing and protecting new industries in their early stages is essential for economic development and industrialization, and that temporary protection from foreign competition is necessary to allow these industries to grow and become competitive in the global market.

Question 3

Strategic trade theory

Accepted Answer

A)  provides unambiguous support for the claim that government intervention in high-technology industries can raise national income. 
B)  suggests it is easier for governments to identify which high-technology industries can raise national income because of national security interests. 
C)  does not provides unambiguous support for the claim that government intervention in high-technology industries can raise national income. 
D)  is strong because it makes it easier to translate the theory's simpler conclusions into effective policies. 
E)  is more of an explanatory theory than a prescriptive theory. 
A)  provides unambiguous support for the claim that government intervention in high-technology industries can raise national income. 
B)  suggests it is easier for governments to identify which high-technology industries can raise national income because of national security interests. 
C)  does not provides unambiguous support for the claim that government intervention in high-technology industries can raise national income. 
D)  is strong because it makes it easier to translate the theory's simpler conclusions into effective policies. 
E)  is more of an explanatory theory than a prescriptive theory. C

Question 4

Efficiency gains realized as a result of greater skill in production are often called "moving up the learning curve".

Accepted Answer

A) True 
 B)False

Question 5

Explain why and how industrial policies in high-technology industries have created so much conflict in international trade.

Accepted Answer

Industrial policies in high-technology i

Question 6

Strategic trade theory assumes that

Accepted Answer

A)  defense-related procurement practices are designed to meet national security objectives. 
B)  in the absence of intervention by any government, high tech industries offer a first-mover advantage. 
C)  In the absence of intervention by any government, high tech industries offer a last-mover advantage. 
D)  societies will be especially interested in oligopolistic high tech industries because of zero-sum excess returns. 
E)  the combination of economies of scale and experience create higher wages. 
A)  defense-related procurement practices are designed to meet national security objectives. 
B)  in the absence of intervention by any government, high tech industries offer a first-mover advantage. 
C)  In the absence of intervention by any government, high tech industries offer a last-mover advantage. 
D)  societies will be especially interested in oligopolistic high tech industries because of zero-sum excess returns. 
E)  the combination of economies of scale and experience create higher wages.

Question 7

Economies of scale arise when the unit cost of producing falls as the number of units produced rises.

Accepted Answer

A) True 
 B)False

Question 8

Strategic trade theory asserts that many high-tech industries are characterized by oligopolistic competition that often has a first-mover advantage.

Accepted Answer

A) True 
 B)False

Question 9

Oligopolistic global markets are characterized by

Accepted Answer

A)  profits greater than earned in equally risky investments. 
B)  higher incomes for workers. 
C)  lower costs than those incurred in equally risky investments. 
D)  a smaller number of competing firms. 
E)  a larger number of competing firms. 
A)  profits greater than earned in equally risky investments. 
B)  higher incomes for workers. 
C)  lower costs than those incurred in equally risky investments. 
D)  a smaller number of competing firms. 
E)  a larger number of competing firms.

Question 10

Explain how society-centered approaches differ from state-centered approaches with regard to state autonomy.

Accepted Answer

Society-centered approaches and state-ce

Question 11

Explain the costs and benefits of state-centered rationale for government intervention compared to standard trade theory.

Accepted Answer

The state-centered rationale for governm

Question 12

State strength is the degree to which national policymakers are insulated from domestic interest group pressures.

Accepted Answer

A) True 
 B)False

Question 13

Explain the differences between economies of scale and economies of experience using the example of commercial aircraft.

Accepted Answer

Economies of scale and economies of expe

Question 14

Countries losing high technology industries as a consequence of industrial policies pursued by other countries

Accepted Answer

A)  has not been much of a source of conflict in the international trade system. 
B)  usually don't respond by supporting their own firms to offset the advantages enjoyed by foreign firms. 
C)  rarely attempt to prevent foreign governments from using industrial policy subsidies. 
D)  has been a source of much conflict in the international trade system. 
E)  is almost entirely the result of different factor advantages as predicted by standard trade theory. 
A)  has not been much of a source of conflict in the international trade system. 
B)  usually don't respond by supporting their own firms to offset the advantages enjoyed by foreign firms. 
C)  rarely attempt to prevent foreign governments from using industrial policy subsidies. 
D)  has been a source of much conflict in the international trade system. 
E)  is almost entirely the result of different factor advantages as predicted by standard trade theory.

Question 15

In cases of infant industries,even with domestic economies of scale,

Accepted Answer

A)  a new firm will be able to effectively compete once it begins to export. 
B)  a new firm will find it easier to compete with tariffs to protect it from more efficient foreign competitors. 
C)  a new firm will find it harder to compete with tariffs to protect it from less efficient foreign competitors. 
D)  government procurement may be the only way to make them internationally competitive. 
E)  export subsidies may be necessary to achieve economies of experience 
A)  a new firm will be able to effectively compete once it begins to export. 
B)  a new firm will find it easier to compete with tariffs to protect it from more efficient foreign competitors. 
C)  a new firm will find it harder to compete with tariffs to protect it from less efficient foreign competitors. 
D)  government procurement may be the only way to make them internationally competitive. 
E)  export subsidies may be necessary to achieve economies of experience

Question 16

In order to claim that a tariff and other forms of government intervention raise social welfare one must be able to demonstrate that

Accepted Answer

A)  something prevents factors from shifting into industries that yield lower costs than are available in other sectors in the economy. 
B)  something prevents factors from shifting into industries that yield higher costs than are available in other sectors in the economy. 
C)  something prevents factors from shifting into industries that yield lower returns than are available in other sectors in the economy. 
D)  something prevents factors from shifting into industries that yield higher returns than are available in other sectors in the economy. 
E)  short term losses will be greater than long term gains. 
A)  something prevents factors from shifting into industries that yield lower costs than are available in other sectors in the economy. 
B)  something prevents factors from shifting into industries that yield higher costs than are available in other sectors in the economy. 
C)  something prevents factors from shifting into industries that yield lower returns than are available in other sectors in the economy. 
D)  something prevents factors from shifting into industries that yield higher returns than are available in other sectors in the economy. 
E)  short term losses will be greater than long term gains.

Question 17

In general,state-centered approaches are useful because they

Accepted Answer

A)  better explain national security microfoundational reward incentives. 
B)  better establish the parameters in which policy must be made. 
C)  better explain how government intervention can improve national welfare. 
D)  better explain state autonomy in democratic political systems. 
E)  better provide a useful check on the tendency to focus exclusively on the interests of interest groups. 
A)  better explain national security microfoundational reward incentives. 
B)  better establish the parameters in which policy must be made. 
C)  better explain how government intervention can improve national welfare. 
D)  better explain state autonomy in democratic political systems. 
E)  better provide a useful check on the tendency to focus exclusively on the interests of interest groups.

Question 18

Weak states may be less able to implement industrial policies that redistribute societal resources because policymakers need worry less that such policies will have a negative impact on their position of power.

Accepted Answer

A) True 
 B)False

Question 19

The state-centered approach to trade politics argues that national policymakers intervene in the economy in pursuit of

Accepted Answer

A)  national objectives that are dependent on domestic groups' self-interested concerns. 
B)  national objectives that are independent of domestic groups' self-interested concerns. 
C)  international objectives that are dependent on foreign groups' self-interested concerns. 
D)  international objectives that are independent of foreign groups' self-interested concerns. 
E)  national objectives that are dependent on foreign groups' self-interested concerns. 
A)  national objectives that are dependent on domestic groups' self-interested concerns. 
B)  national objectives that are independent of domestic groups' self-interested concerns. 
C)  international objectives that are dependent on foreign groups' self-interested concerns. 
D)  international objectives that are independent of foreign groups' self-interested concerns. 
E)  national objectives that are dependent on foreign groups' self-interested concerns.

Question 20

The infant industry case for protection argues that there are cases in which newly created firms will not be efficient initially but could be efficient in the long run if they are given time to mature.

Accepted Answer

A) True 
 B)False

Explain how state strength determines the political foundation of industrial policies by comparing Japan,France and the United States after WWII.

Explain the rationale for infant industry protectionism first proposed by Alexander Hamilton in the 1790s and Fredrick List in the mid-nineteenth century.

Strategic trade theory

Efficiency gains realized as a result of greater skill in production are often called "moving up the learning curve".

Explain why and how industrial policies in high-technology industries have created so much conflict in international trade.

Strategic trade theory assumes that

Economies of scale arise when the unit cost of producing falls as the number of units produced rises.

Strategic trade theory asserts that many high-tech industries are characterized by oligopolistic competition that often has a first-mover advantage.

Oligopolistic global markets are characterized by

Explain how society-centered approaches differ from state-centered approaches with regard to state autonomy.

Explain the costs and benefits of state-centered rationale for government intervention compared to standard trade theory.

State strength is the degree to which national policymakers are insulated from domestic interest group pressures.

Explain the differences between economies of scale and economies of experience using the example of commercial aircraft.

Countries losing high technology industries as a consequence of industrial policies pursued by other countries

In cases of infant industries,even with domestic economies of scale,

In order to claim that a tariff and other forms of government intervention raise social welfare one must be able to demonstrate that

In general,state-centered approaches are useful because they

Weak states may be less able to implement industrial policies that redistribute societal resources because policymakers need worry less that such policies will have a negative impact on their position of power.

The state-centered approach to trade politics argues that national policymakers intervene in the economy in pursuit of

The infant industry case for protection argues that there are cases in which newly created firms will not be efficient initially but could be efficient in the long run if they are given time to mature.

International Political Economy

The World Trade Organization and the World Trade System

The Political Economy of International Trade Cooperation

A Society-Centered Approach to Trade Politics

Trade and Development I: Import Substitution Industrialization

Trade and Development II: Economic Reform

Multinational Corporations in the Global Economy

The Politics of Multinational Corporations

The International Monetary System

Cooperation, conflict and Crisis in the Contemporary International Monetary System

A Society-Centered Approach to Monetary and Exchange-Rate Policies

A State-Centered Approach to Monetary and Exchange-Rate Policies

Developing Countries and International Finance I: the Latin American Debt Crisis

Developing Countries and International Finance II: a Decade of Crises

Globalization: Consequences and Controversies

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Exam 5: A State-Centered Approach to Trade Politics

Explain how state strength determines the political foundation of industrial policies by comparing Japan,France and the United States after WWII.

Explain the rationale for infant industry protectionism first proposed by Alexander Hamilton in the 1790s and Fredrick List in the mid-nineteenth century.

Strategic trade theory

Efficiency gains realized as a result of greater skill in production are often called "moving up the learning curve".

Explain why and how industrial policies in high-technology industries have created so much conflict in international trade.

Strategic trade theory assumes that

Economies of scale arise when the unit cost of producing falls as the number of units produced rises.

Strategic trade theory asserts that many high-tech industries are characterized by oligopolistic competition that often has a first-mover advantage.

Oligopolistic global markets are characterized by

Explain how society-centered approaches differ from state-centered approaches with regard to state autonomy.

Explain the costs and benefits of state-centered rationale for government intervention compared to standard trade theory.

State strength is the degree to which national policymakers are insulated from domestic interest group pressures.

Explain the differences between economies of scale and economies of experience using the example of commercial aircraft.

Countries losing high technology industries as a consequence of industrial policies pursued by other countries

In cases of infant industries,even with domestic economies of scale,

In order to claim that a tariff and other forms of government intervention raise social welfare one must be able to demonstrate that

In general,state-centered approaches are useful because they

Weak states may be less able to implement industrial policies that redistribute societal resources because policymakers need worry less that such policies will have a negative impact on their position of power.

The state-centered approach to trade politics argues that national policymakers intervene in the economy in pursuit of

The infant industry case for protection argues that there are cases in which newly created firms will not be efficient initially but could be efficient in the long run if they are given time to mature.

International Political Economy

The World Trade Organization and the World Trade System

The Political Economy of International Trade Cooperation

A Society-Centered Approach to Trade Politics

Trade and Development I: Import Substitution Industrialization

Trade and Development II: Economic Reform

Multinational Corporations in the Global Economy

The Politics of Multinational Corporations

The International Monetary System

Cooperation, conflict and Crisis in the Contemporary International Monetary System

A Society-Centered Approach to Monetary and Exchange-Rate Policies

A State-Centered Approach to Monetary and Exchange-Rate Policies

Developing Countries and International Finance I: the Latin American Debt Crisis

Developing Countries and International Finance II: a Decade of Crises

Globalization: Consequences and Controversies

Filters