World Economy and International Trade
- develops a framework for understanding the past and current trends in the global economy, including international trade, capital flows and migration
- understand global trends and the rapid changes in the world economy
- identify the global problems
- consider the structure of international economic relations
- explain the basis for trade, the gains from trade and effects of trade
- apply theories of regional economic development, location, and trade to the contemporary process known as globalization
- Globalization and world economyIndicators of globalization. Indicators of economic development. Purchasing Power Parity. Social development. Global competitiveness. The importance of taking a long view: the imprint of past geographies. Roller-coasters and interconnections. Global shifts: the changing contours of the global economic map. The centre of gravity has shifted.
- Introduction to International TradeInternational trade in goods and services. Total international merchandise trade. International trade by partner. International trade by product. Indexes of trade. Trade in services
- Ricardian theory of comparative advantageThe Concept of Comparative Advantage. A One-Factor Economy. Determining the Relative Price after Trade. The Gains From Trade. Misconceptions about Comparative Advantage. Reasons for Trade. The Specific Factors Model. International Trade in the Specific Factors Model. Income Distribution and the Gains From Trade. Earning of labor and earnings of capital or land
- Hecksher-Ohlin theorySpecific-Factors Model. Hecksher-Ohlin model of trade. Stolper-Samuelson effects. Rybczynski effects. Problems with the Hecksher - Ohlin model. Empirical evidence of trade theory.
- Movement of Labor and Capital between CountriesInternational Labor Mobility. International Capital Flows. Multinational Firms and Direct Foreign Investment.
- International trade policyA Brief History and goals of the World Trade Organization. The Gains from Trade. Import Tariffs for a Small Country. Import Tariffs for a Large Country. Import Quotas
- Interim assessment (1 module)0.15 * activities in class + 0.15 * cases + 0.25 * final exam + 0.25 * quizzes + 0.2 * test
- Krugman, P. R., Obstfeld, M., & Melitz, M. J. (2015). International Economics: Theory and Policy, Global Edition (Vol. Tenth edition, global edition). Boston: Pearson. Retrieved from http://search.ebscohost.com/login.aspx?direct=true&site=eds-live&db=nlebk&AN=1419045
- Weil, D. N. (2016). Economic Growth : International Edition (Vol. Third edition). Abingdon, Oxon: Routledge. Retrieved from http://search.ebscohost.com/login.aspx?direct=true&site=eds-live&db=nlebk&AN=1244212