Курсовая работа: The theoretical basis for the international trade. The modern trends of the international trade development

They considered, that it is possible to induce the countries to development of manufacture and export of that production where superfluous and cheap factors of manufacture are used.

Leontiev’s Paradox

Vasily Leontiev an American economist. He investigated structure of export and import of the USA.

He has found out, that in export трудовоепотребление goods prevailed, and in import prevailed capital-intensive. The theory has received the name «Leontiev’s paradox ».

V. Leontiev has assumed, that greater productivity of the American work is connected with higher qualification of the American workers.

So, V. Leontiev has found out, that the branches being successful exporters, possess higher labour input. And other branches colliding with a competition of the import goods, not so are successful.

1.2 Modern theories of the international trade

The theory of the technological break

The theory of the technological break is the modern theory of the world trade. The theory was developed by the American economists G.Hafbauer, R.Vernon.

If in branch technological innovations are applied, country will receive comparative advantages. If the country makes the goods with smaller costs, it will receive additional profit in the world market. Therefore exporters are interested in increase in manufacture of the given goods and its realization in the world market. While break exists, it renders positive influence on export of goods in which manufacture new technologies are used.

The theory of the product life cycle

R.Vernon, C.Kindelberger, L.Uels have developed the theory of the product life cycle. This theory explains development of the world trade by finished goods on the basis of stages of its life in the market.

Development of the world trade by finished articles depends on stages of a life.

The product life cycle is a familiar one in marketing. A product is launched, developed, goes through a period of growth, enters maturity, declines, and eventually dies.

At the first stage there is a development of new production. Manufacture of a new product has small-scale character, demands high qualification of workers and concentrates in the country of an innovation.

At the second stage of growth demand for a product grows also its manufacture extends. The product becomes more standardized, the competition between manufacturers increases and export extends.

The large-lot production is typical of a maturity. The product life cycle passes in a stage of decline, demand is reduced.

The theory of the product life cycle is realistic enough reflects evolution of many branches. However is not a universal explanation of tendencies of development of the international trade .

Michael Porter’s the theory of competitive advantage

In 2-nd half XX centuries in the world trade have occured changes. In commodity structure of the world trade, sale of finished goods began to prevail. In 1990 the American economist M.Porter has published research « Competitive advantages of the countries ».

M.Porter has created the original theory of competitive advantage of the country. The central place in his concept is occupied with idea of a national rhombus.

Determinants of competitive advantage is characteristics of the most significant sources of competitive advantage of the companies of processing industries.

1. The Factor of a condition

2. Conditions of the internal demand, causing a scale effect

3. Presence of adjacent and supporting branches

Thus, the theory of a competition connects inclusion of the country and separate firm in the world trade with conditions of a competition.

The Theory of a scale effect

P.Krjugman, R.Drize, G.Hafbauer have developed the theory of a scale effect.

At the certain technology and the organization of manufacture long-term average costs are reduced in process of increase in output, i.e. there is an economy caused by mass production.

The effect of mass production was realized, necessary capacious enough market. International trade allows to expand commodity markets. It is offered to consumers to more production and lower prices.