Course TitleInternational Trade
Course Code12073
Number of Credits: 3
Teaching Hours: 48
Prerequisites:Microeconomics
Overview
The purpose of this course is to help students understand the basics of international trade and finance and the effects of various international economic policies on domestic and world welfare. The course will highlight sources of comparative advantage, gains and losses from trade, the impact of trade on economic growth and effects of trade policy interventions such as tariffs, quotas, voluntary export restraints and export subsidies. International agreements on regional trade liberalization (such as EU and NAFTA) and on multilateral trade liberalization (e.g., WTO) will be also discussed. Topics on international finance will include balance of payments, determination of foreign exchange rates, and international monetary system.
Learning outcomes
By the end of this course, students should be able to:
l Demonstrated the usefulness of theory
l Understand the current applications of economic theory and incorporate recent theoretical and policy developments in international trade and finance.
Syllabus
l The International Economy and Globalization
l Foundations of Modern Trade Theory: Comparative Advantage
l Sources of Comparative Advantage.
l Tariffs.
l No tariff Trade Barriers.
l Trade Regulations and Industrial Policies.
l Trade Policies for the Developing Nations.
l Regional Trading Arrangements.
l International Factor Movements and Multinational Enterprises.
l The Balance of Payments.
l Foreign Exchange.
l Exchange-Rate Determination.
l Balance-of-Payments Adjustments.
l Exchange-Rate Adjustments and the Balance of Payments.
l Exchange-Rate Systems and Currency Crises.
l Macroeconomic Policy in an Open Economy.
l International Banking: Reserves, Debt, and Risk.
Teaching method
Group work, case study, classroom learning, presentation
Assessment
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Form of assessment
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Weighting
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Mid-term Exam
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40%
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Exam
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60%
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The exam is an end-of –semester test and it will be held about 3 hours.
Textbook
International Economics, 10th edition, Robert J. Carbaugh, China Renmin University Press is authorized by Cengage Learning to publish and distribute exclusively this reprint edition.