By using this book:International Economics: Theory and Policy, 11th EditionAuthor:Paul R. Krugman;Maurice Obstfeld; Marc Melitz………..1- Understanding that International Economics is about how nations interact with one another through trade of goods and services, flows of money, and investments; how is it that economic shocks such as the 2007-2008 are able to have profound impacts on global trade? Here you can use examples from the first three chapters.2- The authors of the textbook assert that the United States trade with Germany, the United Kingdom, and France the most. What are specific economic reasons for the U.S. to pursue this economic policy? You can use the the Gravity Model to help you.3-“Trade between two countries can benefit both countries if each country exports the goods in which it has a comparative advantage” (Krugman, 2018, p. 26). Could you use Ricardo’s model to explain comparative advantage?
