This document summarizes key concepts in macroeconomics. It discusses how the world population has grown from 1 billion to 8 billion people between 1804 to present day. It also examines how total life years have increased from 28.5 billion to 585.6 billion over the same time period due to rising life expectancy. Additionally, the document explores concepts such as comparative advantage and how international trade benefits consumers and producers through increased surplus despite some producers facing more competition. It provides examples of trade disputes between countries and industries.

2. Lecture 22
Macroeconomics

3. Opening
Prayer

4. Quiz Master

5. Key Takeaways

6. 8 billion people

8. 1 to
8 billion

9. 28 to
73.2 Years

10. Total Life Years
=
Population
x
Life Expectancy

11. 0
30
60
90
0 1 2 3 4 5 6 7 8
Quantifying Life
Population in Billions
Life
Expectancy
in Years
2020 2022
+700%
+157%
28.5 billion to 585.6 billion = 20.5 x
= 1,954% increase
73.2
8.0
585.6
1800
28.5

15. 0.8 cents
Cost to Ship from
Thailand to U.S.

18. Evergreen Ever Alot
400m x 61m
24,004 TEU
90.8 miles

22. Nobody is in charge
Trade and Specialize
Comparative Advantage

23. Chart a Tariff
Local Supplier
Foreign Supplier
Foreigner Supplier with Tariff

24. $0
$2
$4
$6
$8
$10
$12
$14
$16
$18
$20
0 1 2 3 4 5 6 7 8 9 10
Demand
Quantity
Consumer
Surplus
Producer
Surplus
($10 x 5) ÷ 2
= $25
($10 x 5) ÷ 2
= $25
Total Surplus
$50

25. Consumer
Surplus
$0
$2
$4
$6
$8
$10
$12
$14
$16
$18
$20
0 1 2 3 4 5 6 7 8 9 10
Demand
Quantity
($14 x 7) ÷ 2
= $49
($6 x 3) ÷ 2
= $9
Total Surplus
= $58
Producer

26. Surplus
Producer

27. fl
uences Supply
Quantity
Price
Demand
Supply

28. Protectionism In
fl
uences Supply
Quantity
Price
Demand
Supply

29. Protectionism In
fl
uences Supply
Quantity
Price
Demand
Supply
Country A
Quantity
Price
Demand
Supply
Country B

30. Players
Canada Lumber Producer
U.S. Lumber Producer
Canada Lumber Consumer
U.S. Lumber Consumer
U.S. Government
Canada Government
U.S. Potato Producer
U.S. Dairy Producer
Canada Potato Consumer
Canada Dairy Consumer
Mexico Lumber Producer
Mexico Lumber Consumer

31. Players
Event
No International Trade Canada Lumber Producer
U.S. Lumber Producer
Canada Lumber Consumer
U.S. Lumber Consumer
U.S. Government
Canada Government
U.S. Potato Producer
U.S. Dairy Producer
Canada Potato Consumer
Canada Dairy Consumer
Mexico Lumber Producer
Mexico Lumber Consumer

32. Players
Event
Canada Lumber Producer
U.S. Lumber Producer
Canada Lumber Consumer
U.S. Lumber Consumer
U.S. Government
Canada Government
U.S. Potato Producer
U.S. Dairy Producer
Canada Potato Consumer
Canada Dairy Consumer
Mexico Lumber Producer
Mexico Lumber Consumer
1.
Open Free Trade

33. Players
Event
Canada Lumber Producer
U.S. Lumber Producer
Canada Lumber Consumer
U.S. Lumber Consumer
U.S. Government
Canada Government
U.S. Potato Producer
U.S. Dairy Producer
Canada Potato Consumer
Canada Dairy Consumer
Mexico Lumber Producer
Mexico Lumber Consumer
2.
U.S. Imposes Tari
ff
s on
Canadian Lumber
Producers

34. Players
Event
Canada Lumber Producer
U.S. Lumber Producer
Canada Lumber Consumer
U.S. Lumber Consumer
U.S. Government
Canada Government
U.S. Potato Producer
U.S. Dairy Producer
Canada Potato Consumer
Canada Dairy Consumer
Mexico Lumber Producer
Mexico Lumber Consumer
3.
Canada Imposes
Tari
ff
s on U.S. Dairy
Producers

35. Players
Event
Canada Lumber Producer
U.S. Lumber Producer
Canada Lumber Consumer
U.S. Lumber Consumer
U.S. Government
Canada Government
U.S. Potato Producer
U.S. Dairy Producer
Canada Potato Consumer
Canada Dairy Consumer
Mexico Lumber Producer
Mexico Lumber Consumer
4.
U.S. Drops Tari
ff
s on
Canadian Lumber
Producers