“Identify two of Hobson’s primary economic goals for a liberal internationalist world. Then, Using Prusa and Vermulst (2013, in the assigned readings folder) assess the types of obstacles those goals face

The prompt:  “Identify two of Hobson’s primary economic goals for a liberal internationalist world.  Then, Using Prusa and Vermulst (2013, in the assigned readings folder) assess the types of obstacles those goals face.”  

The Prusa and Vermulst article introduces a number of concepts that are relevant to international trade with China:

RMB vs. dollar fluctuations

“There is no private land market in China.”

Impact of “State owned commercial banks”

Use of “Market benchmarks”

government ownership; (ii) government presence on the board of directors; (iii) government control over activities; (iv) pursuit of governmental policies or interests; and (v) whether the entity was created by statute.7

We live in the “liberal internationalist” era that Hobson argued for.  Identify two ideas relevant to that liberal internationalism that relate to trade.  Then ask yourself this:  why do we have these dense legal arguments about trade if we are in a liberal internationalist era?  Why not just “do free trade”?


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