in the real world, however, government do not necessarily do what the cost-benefit analysis of economists tells them they should. this does not mean that analysis is useless. economic analysis can help make sense of the politics of international trade policy, by showing who benefits and who loses from such government actions as quotas on imports and subsidies to exports. the key insight of this analysis is that conflicts of interest within nations are usually more important in determining trade policy than conflicts of interest between nations. chapters 3 and 4 show that trade usually has very strong effects on income distribution within countries, while chapter 9,10, and 11 reveal that the relative power of different interest groups within countries, rather than some measure of overall national interest, is often the main determining factor in government policies toward international trade.