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1、Lecture4INTERNATIONALFACTORMOVEMENTSByCarlosLlano,Referencesfortheslides:KrugmanyObsfeld:InternationalEconomics.Pearson.2006.UNCTAD(2011).WORLDINVESTMENTREPORT.PaulAntràs:http://ocw.mit.edu/OcwWeb/Economics/14-54Fall-2006/DownloadthisCourse/index.htm“Theextensionanduseofrailroads,steamships,tel
2、egraphs,breakdownnationalitiesandbringpeoplesgeographicallyremoteintocloseconnectioncommerciallyandpolitically.Theymaketheworldone,andcapital,likewater,tendstoacommonlevel.”DavidLivingstone,reflectingonhisexperiencesinAfricainthe1850s.MotivaciónIntroductionInternationalLaborMobilityForeignDirec
3、tInvestmentandMultinationalFirmsExtensions.IndexBalanceofPaymentsInternationalTrade:movementofgoodsandservices.Theeasiestwayofeconomicintegration.Otherwaysofintegration:mobilityoffactorsofproduction:Immigration(labormobility).Capitaltransferencesthroughinternationallending.InternationalInvestme
4、ntswiththeaimofpermanence:FDIandmultinationalfirms.1.IntroductionOne-GoodModelWithoutFactorMobilityHypothesisofthemodel:2countries(Home,Foreign).2factorsofproduction:Land(T)andLabor(L).Bothcountriesproduceonlyonegood.Bothcountrieshavethesametechnologybutdifferentoverallland-laborendowments(T/Lr
5、atios).HomeisabundantinL,ForeignisabundantinT.Perfectcompetitioninallmarkets.2.InternationalLaborMobilityLabor:LProduction:QQ(T,L)AnEconomy’sProductionFunction2.InternationalLaborMobilityRentsWagesRealWageMPLLMPLTheMarginalProductofLabor(MPL)2.InternationalLaborMobilitywww.youtube.com/watch?v=g
6、urlpLOyubA2.InternationalLaborMobilityRivaneNeuenschwander
7、Contingent-YouTubeInContingent(2008),atime-lapsefilmfollowsasinglemeal,asaworldmap–daubedinhoneyonblottingpaper–isconsumedbyants,thelandmassesbecomingfirstemaciatedthencompletelydisconnected.Pitchingarational(andofcoursestubbornlyEuroce
8、ntric)chartagainstanunpredictablesystem,Neuenschwander’sdynamicterritoriesreferbacktowhenterraincognitaspaces–visualrepresentationsofwhatisnotknown2–hadyettodisappearfrommaps,whenthedistinctionbetweenpictorialandcartographicrepres