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- Global Economics for Managers
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"Evolutionary" view on globalization - A long-run historical evolution since the dawn of human history "New" view on globalization - A force sweeping through the world in recent times. "Pendulum" view on globalization - One that swings from one extreme to another from time to time 3 types of elasticity, their equations, purpose and outcomes - (1) Price elasticity of demand - % chg in Q D / % chg in P (2) Income elasticity - % chg in Q D / % chg in income (3) Cross-price elasticity - % chg in Q D Good 1/% chg in Good #2 P Absolute advantage - The economic advantage one nation enjoys that is superior to other nations Benefits to a country receiving FDI - Capital Inflow, Technology Spillover, Advanced Management Know-How, Job creation
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