Chapter 1 An Introduction to the World Economy and Trade
1��1 The Development Situation
1��1��1 World Trade Volumes and World Trade Composition
1��1��1��1 World Trade Volumes
1��1��1��2 The World Trade Composition
1��1��2 Main Trade Participants
1��1��2��1 Total Goods and Services Imports and Exports
1��1��2��2 Goods and Services Imports and Goods and Services Exports
1��1��3 Trade Situation in China and the U��S��
1��1��3��1 Foreign Trade in China
1��1��3��2 Foreign Trade in the U��S��
1��2 Features of World Economy and Trade
1��2��1 The Growth of World Economy and Trade Have Been Slowing Down
1��2��2 Trade Participants Differentiated Significantly
1��2��3 More High-Tech Products and Information Products Are Traded
1��2��4 The Global Value Chain Is Under Reconstruction�� the Cross-Border
E-Commerce Is Growing Rapidly
1��2��5 The Trade Protectionism Has Been Rising
1��2��6 Developing and Middle-Income Countries Have Been Increasingly
Active
Part I International Trade Theory

Chapter 2 Mercantilism�� the Theory of Absolute Advantage�� and the Theo-
ry of Comparative Advantage
2��1 Mercantilism
2��1��1 Main Thoughts of Mercantilism
2��1��2 Main Policies of Mercantilism
2��1��3 Limitations of Mercantilism
Reading 2��1
2��2 The Theory of Absolute Advantage
2��2��1 Basic Assumptions
2��2��2 Absolute Advantage
2��2��3 The Theory of Absolute Advantage
2��2��4 Limitations of the Theory of Absolute Advantage
Reading 2��2
2��3 The Theory of Comparative Advantage
2��3��1 Basic Assumptions
2��3��2 Opportunity Cost
2��3��3 Comparative Advantage
2��3��4 Theory of Comparative Advantage
2��3��5 Limitations of the Theory of Comparative Advantage
Reading 2��3
2��4 Determining the Relative Price with Free Trade
Reading 2��4

Chapter 3 The Standard Trade Model
3��1 Production Possibility Frontier ��PPF��
Part II International Trade policy