Try to compare the traditional and new theories of international trade.

Answer: traditional international trade theory originated in the study of British classical political economy. The classical school of Smith's theory of absolute advantage and Ricardo's theory of comparative advantage are its classical representatives. The trade theory of the neoclassical school can be said to be the inheritance and development of the trade theory of the classical school. The trade theory of the neoclassical school realizes the unrealistic assumptions in the theory of the classical school, incorporates the demand factors not analyzed by the classical school into the analytical system, and incorporates the new analytical methods and analytical tools impossible to be used by the classical school into the theoretical model. The new international trade theory is the inheritance and development of the neoclassical trade theory. In the neoclassical trade theory and on the basis of the dynamic comparative advantage issues, product differences and demand preferences on the impact of intra-industry trade issues, market structural differences on the impact of trade patterns and international trade generates the problem of location and transportation costs.