Dalia Marin: The Global Market and Nation States (2/7)

The video discusses the evolution of trade theories, focusing on the new international division of labor and the new new trade theory. It highlights changes in firm organization, such as decentralization and the importance of human capital. The impact of globalization on trade, including intra-firm trade and foreign direct investment, is explored. The video also examines how firms adapt to increased trade exposure by slicing value chains and decentralizing. Finally, it addresses the economic effects of trade, such as income inequality and the need for new policy approaches.

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