Scheda insegnamento

  • Docente Giovanni Prarolo

  • Crediti formativi 9

  • SSD SECS-P/01

  • Modalità didattica Convenzionale - Lezioni in presenza

  • Lingua di insegnamento Inglese


L'insegnamento contribuisce al perseguimento degli Obiettivi di Sviluppo Sostenibile dell'Agenda 2030 dell'ONU.

Povertà Zero Lavoro dignitoso e crescita economica

Anno Accademico 2019/2020

Conoscenze e abilità da conseguire

At the end of the course students are able to analyze several issues related to macroeconomic policy in open economies and to the evolution of foreign exchange markets. Specifically, students are exsposed to the determination and dynamics of exchange rates, on the choice between flexible and fixed exchange rates, with special attention to the European Monetary Union, on the international role of the euro and its relationship with the dollar and, finally, on speculative attacks on currencies and the design of a new international financial architecture.


The first part of the course focuses on international trade theory and policy. It addresses some of the classic questions of international trade theory such as: who trades what with whom? What are the effects of trade on welfare and the income distribution? How micro-aspects enter the picture of international trade? The course presents the answers of classical and new trade theory to these questions. The first part ends with an overview of recent theoretical and empirical research on the role of heterogeneous firms in international trade.

The second half of the course covers topics in the fields of trade policy and international macroeconomic. Questions which will be tackled during this second part of the course will be: What are the effects of barriers to trade and economic integration? What about trade policies in developing countries? How are nominal exchange rates determined? What does it mean for a currency to be overvalued or undervalued? Why do countries run large current account surpluses or deficits? Are such external imbalances sustainable? Why do some fixed exchange rate regimes fail and end in a currency crisis? What are the benefits and costs of a common currency?

International Trade
- The Ricardian model
- The specific factors model
- The Heckscher-Ohlin model
- The standard trade model
- External economies of scale
- Internal economies of scale, FDI and multinational enterprises

Topics in trade policy
- Tariffs and quotas
- The political economy of trade policy
- Trade policy in developing countries
- Controversies in trade policy

Topics in open macroeconomics and international macroeconomic policies
- National income accounting and the balance of payments
- Exchange rates and the foreign exchange market
- Optimum currency areas and the European experience
- Financial globalization: opportunity and crisis
- Developing countries: Growth, crisis, and reform


Krugman, P., M. Obstfeld and Marc Melitz: "International Economics: Theory and Policy", 11th edition. Pearson Eds.

Additional material distributed in class

Metodi didattici

Lectures and exercises with intstructor.

Production of essays based on relevant economic facts.

Classworks based on presentations given by small groups of students.

Modalità di verifica dell'apprendimento

Written exam, with midterm during the course.

Essays and presentations will contribute to the final grade.

Strumenti a supporto della didattica

Slides based on (i) the book and (ii) relevant articles made available on instructor's website.

Orario di ricevimento

Consulta il sito web di Giovanni Prarolo