Project Category

Cormier Honors College for Citizen Scholars

Presentation Type

Presentation

Description

Trade may seem like simple transaction between two parties, but in reality, trading comes with many boundaries and challenges that may not be easy to see from the outside. This research was conducted by collecting data about Madagascar’s trade with the United States, the types and amount of products being imported and exported, and a closer look at each economy. In our course, we discussed how the Gravity Model, the idea that most countries will find it easiest and most efficient to trade with big economies that are close rather than ones that are farther away, plays a vital role in many smaller countries’ trading decisions. Even though Madagascar’s trade with the United States does not fit the idea behind this model considering that they are not close geographically, the United States trades millions with Madagascar every year.

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ECON 319: A Closer Look into Trade with Madagascar

Trade may seem like simple transaction between two parties, but in reality, trading comes with many boundaries and challenges that may not be easy to see from the outside. This research was conducted by collecting data about Madagascar’s trade with the United States, the types and amount of products being imported and exported, and a closer look at each economy. In our course, we discussed how the Gravity Model, the idea that most countries will find it easiest and most efficient to trade with big economies that are close rather than ones that are farther away, plays a vital role in many smaller countries’ trading decisions. Even though Madagascar’s trade with the United States does not fit the idea behind this model considering that they are not close geographically, the United States trades millions with Madagascar every year.