1. Balance of Payments (2011)Apunte Inglés
|Universidad||Universidad Internacional de Cataluña (UIC)|
|Grado||Administración y Dirección de Empresas (ADE) English Programme - 1º curso|
|Año del apunte||2011|
|Fecha de subida||05/06/2014|
Vista previa del texto
The Balance of payments: •Always has to be cero (you cannot have a deficit in here) •Current account + financial account + capital account = 0 •Current Account: export or import of goods and services •Financial account: purchase or sale of financial assets (money, stocks, factories) = 0 •Capital account: other activities resulting in transfers of wealth between countries. (Mostly from non market activities) Globalization: the opening up of economies to flows of goods, services, capital, and businesses from other nations that integrate their markets with those abroad • Greater mobility of factors of production • International division of labor • Deeper market integration • Changing role of developing countries. • There are 3 waves of globalization. The 3rd Wave (1989 -‐2008): o Telecommunication costs drop o WTO liberalization and regionalism o Disintegration of supply chain o Immigration tensions o Fast capital mobility o US supremacy o Further liberalization and antiglobalization movement’s reaction. • Political Trilemma: o Global federalism: we align the scope of democratic politics with the scope of global markets o Bretton Woods Compromise: capital controls and limited trade liberalization) § So: we can downgrade our ambitions with respect to how much international economic integration we can achieve. o Golden Straitjacket: when we sacrifice some degree of economic sovereignty to global institutions. § So: if we maintain a nation state, we have to make it responsive only to the needs of the international economy (we pursue global economic integration at the expense of other domestic objectives) o Deep economic integration requires that we eliminate all transaction costs traders and financiers face in their cross-‐border dealings. o Welfare state: A model in which the state assumes primary responsibility for the welfare of its citizens. o Nation State: Territory, population and government. Conclusion: if we want more globalization, we must either give up some democracy or some national sovereignty: pretending that we can have all three simultaneously leaves us in an unstable no-‐man’s land. ...