75910 - International Economics

Learning outcomes

The aim is to provide basic knowledge of Open Macroeconomics and International trade issues. At the end of the course the students are expected to be able to use concepts currently employed in the economic debate, like, exchange rates, balance of payments, exports, FDI. They are expected to understand the rationales underlying the macroeconomic and trade policies in open economies and to analyse the main international economic events related to globalization.

Course contents

Introduction

Labor Productivity and Comparative Advantage: The Ricardian Model

Specific Factors and Income Distribution

The Heckscher-Ohlin Model

The Standard Trade Model

External Economies of Scale and the International Location of Production

Firms in the Global Economy: Export Decisions, Outsourcing, and Multinational Enterprises

 

The Instruments of Trade Policy

The Political Economy of Trade Policy

Trade Policy in Developing Countries

Controversies in Trade Policy

National Income Accounting and the Balance of Payments

 

Exchange Rates and the Foreign Exchange Market: An Asset Approach

Money, Interest Rates, and Exchange Rates

Price Levels and the Exchange Rate in the Long Run

Output and the Exchange Rate in the Short Run

Fixed Exchange Rates and Foreign Exchange Intervention

Readings/Bibliography

Krugman P. R., Obstfeld M., Melitz M. J. (2019), International Economics: Theory and Policy, 11th Edition, Pearson.

Teaching methods

Lectures, exercises.

Assessment methods

Written midterm and final exams.

Each student is required to have access to a video link as an essential condition to take the exam. Stunets must use also a second video contact point via the mobile phone,or a different device, orented at 45 degrees with respect to the PC screen showing the keyboard and the screen itself.

Students must keep the camera and microphone turned on during the whole test.

You must book your exam on Almaesami non longer than five days before the given esam date.

Teaching tools

Blackboard and chalk or touch screen (face-to-face lectures).

Paper, pen and 2 webcams (online lectures).

Office hours

See the website of Luciano Messori