Understanding Gravity Equation, Monopoly, Cournot, and Intra-Industry Trade
Gravity Equation
GRAVITY EQUATION:
Τ =????∗????????∗????????/????????
D increases – T decreases / Y increases – T increases
Tij = the value of trade between country i and country j – bilateral trade flow
A = a constant
Yi = GDP of country i (exporter)
Yj = GDP of country j (importer)
Dij = distance between both countries (bilateral trade friction) – impact of distance increased over time (modern transportation over time and communication – hard to find data: Distance puzzle)
Size (GDP): of an economy
Read MorePolitical Power: Origin, Legitimacy, and State Forms
Origin and Legitimacy of Political Power
1. The State
Some features of the state include:
- Territorial Power: The power of the State extends to the whole area demarcating their borders.
- Sovereignty: At the state level, there is no higher authority to which the State must submit.
- Maintaining Order: The state has other functions, but this is the main one.
Civil Society: The set of institutions and associations that do not belong to the state but have public relevance. Democracy and a healthy civil society
Read MoreParliamentary Control and Government Accountability
Media research is conducted through commissions of inquiry and missions. Financial control is exercised by Parliament in collaboration with the Court of Auditors.
The Ombudsman, created in 1973 and appointed by the Council of Ministers, aims to improve relations between the governed and the Administration. Their intervention must be requested through a Member of Parliament. The mediator submits an annual report to Parliament.
Political responsibility is the most important mechanism of control Parliament
Read MoreSpanish Constitution of 1931: Key Features
The Constitution of 1931
The main task of the new government was to convene a Constituent Assembly, with elections that would grant legitimacy to the Republican regime. Elections were held in June 1931 and gave a large majority to the ruling coalition parties. The PSOE, a group with few members during the monarchy, became the largest parliamentary group, followed by Lerroux’s Radicals and the Radical-Socialist Party. The non-Republican right, meanwhile, was represented by a token minority. The courts
Read MoreFrench Government Structure: Prime Minister’s Role & Powers
The French Government
The French Government is a collegial body composed of the Prime Minister, ministers, and secretaries of State, chaired by the President of the Republic, and accountable to Parliament.
The Constitution of the Fifth Republic attributes basic powers to the Prime Minister. While not the head of government, the Prime Minister is a head of government. This is a key feature of the semi-presidential system, where executive power is shared between a Prime Minister accountable to Parliament
Read MoreUnderstanding Electoral Systems and Voting Rights
Democracy and the Electoral System
Democracy begins to operate through laws, and citizens are essential for democracy. The only feasible form is representative democracy. There are several forms of democracy:
- Direct Democracy: Citizens directly decide on matters that affect everyone. There are no intermediaries. Rousseau considered this the only true democracy, but its application today would be nearly impossible.
- Semi-Direct Democracy: Institutionalized voters decide on public matters. This form emphasizes