1. Anti-globalization activists suggest that there are many problems with free trade. Identify two of these problems. Does fair trade resolve the free trade problems you have identified? Does fair trade depend on free trade to be effective?

2. Briefly outline an example of a situation (case) where food quality standards in a high income country have been a barrier to trade for one or more developing countries. What policy options are available in this situation and what are their limitations?

3. Suppose two countries (A,B) are identical: they both produce a clean good (Y) and a dirty good (X) and both initially have pollution taxes that equate marginal costs of pollution to marginal benefits of pollution. Now suppose country A decides to reduce its pollution taxes in an attempt to stimulate its economic activity. What will the impact be on prices, trade and production levels in the two countries? Should country B claim that country A is using unfair trade practices?

4. Fair trade can benefit producers of major commodities in developing countries. Outline the conditions under which a fair trade system is established. Outline the controversies about the benefits of fair trade. Why would North American sellers of fair trade products sell those products at the same price as non fair trade?

5, What are the linkages between globalization and invasive species?