International Trade Essay Assignment

International Trade Assignment
International Trade Assignment

International Trade Assignment

INTERNATIONAL TRADE ASSIGNMENT 1
SEMESTER 1, 2019

I. INTRODUCTION
Assume that you are an economic consultant hired by an international organization/government to provide your expert advice on conditions pertaining to
international trade in Italy and Sweden. Your analysis will consist of two separate reports (one for Assignment 1 and the other for Assignment 2). As an expert, your job is two-fold:
1. You are required to analyse any relevant issue using your technical skills. This involves utilizing your knowledge in international trade models as well as
inspecting and interpreting data.
2. You need to communicate your results in an effective way.
The purpose of this exercise is to assess your aptitudes in each domain. You will evaluate the trading conditions in these countries (Italy and Sweden) based on the scenarios detailed in each question in this Assignment. Your analysis will form the basis for a short report to the international organization/government body—summarising your analysis and the associated rationale.

II. DATA SOURCE
For your data analysis, you first need to obtain data from the World Bank (see the link below) and follow the steps described below. Notice that World Bank regularly updates its database; therefore it is crucial to obtain all data as soon as possible. The data range
is from 2003 to 2015. You need to obtain the country-level data for Italy and Sweden on:
i. Imports of goods and services (in current US$)
ii. Exports of goods and services (in current US$)
iii. GDP (in current US$)
iv. GDP per capita (in current US$)
v. GINI Index (World Bank estimate) from the World Bank’s World

Development Indicators:
(http://databank.worldbank.org/data/reports.aspx?source=world-development-indicators).
[Note that if your browser (such as Chrome) does not open the web page, try a different browser (such as Internet Explorer)]
Please DO NOT attach Excel files to the brief. The policy brief needs to be precise and short. Avoid unnecessary jargon. Your policy brief cannot exceed two pages.
International Trade Assignment 1, Semester 1, 2019 Page 2

III. REQUIRED TASKS
Your tasks involve two dimensions. Firstly, you need to analyse the data (see Steps 1, 2
and 3 in the next section). Secondly, you need to perform a technical analysis by considering a hypothetical trading environment based on Ricardian model (see Step 4 in the next section).

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