Textbook: Krugman, Obstfeld, Melitz, International Economics: Theory and Policy. Find it here.
Evaluation: HW for each chapter starting ch 2, answer any 5 end of chapter questions. Each of the 3 modules has a case study/project, due at the end of the module.
Module 0. Review of economic principles
Review of basic micro
- Graph review – youtube
- Opportunity Cost – youtube
- Production possibilities and changes in PPF-youtube
- Market Demand Schedule
- The Law of the Downward Sloping Demand Curve
- Change in Demand vs Change in Quantity Demanded – youtube
- Supply – youtube
- Market Supply Schedule
- The Upward Sloping Supply Curves
- Market Equilibrium – youtube
- Demand, Supply and Market Equilibrium
- How to Calculate Market Equilibrium
- How Changes in Supply and Demand Affect Market Equilibrium
- Demand and Supply
- What Do Prices “Know” That You Don’t?
- Demand and Supply Applied: Sample Problems
- Demand and Supply Applied: Buy Low and Sell High
- Demand and Supply Applied: Housing Bubbles
- Adam Smith: The Invisible Hand
Review of basic macro:
Module 1. Economics and Trade
1 . Globalization ch 1
- Key Industry Drivers of Globalization – narrated slides
- The great trade collapse: What caused it and what does it mean?
- Why Did Trade Plummet in the Great Recession?
- Most corrupt countries in the world
- The shipping container
- GDP and PPP
2. Comparative advantage ch 2
- Trade, Production Possibilities, and More Trade
- Absolute and Comparative Advantage- youtube
- Absolute and comparative advantage
- Comparative advantage – youtube one more
- Comparative advantage – mruniversity
- Comparative advantage example solved
- Wheat, water, and Saudi Arabia -country specializes in comparative dis-advantage
3. Sources of comparative advantage and other theories ch 3
- Sources of comparative advantage – video
- Krugman’s New Trade Theory
- Sources of Comparative Advantage
- Evidence on Comparative Advantage from Japan
- Trade and Variety
- The Gravity Equation and Cost of Trade
- Trade, Investment and Migration as Substitutes
- Global Agricultural Trade
- International Trade and the Factors of Production
- Specific Factors Models
- Factor Price Equalization
- The Heckscher-Ohlin Theorem
- Evidence on the Heckscher-Ohlin Theorem
- The Rybczynski Theorem
- What is at Stake in Trade Theories?
- Global Exchange: Free Trade & Protection – pattern & impact
- Trade and External Economies of Scale
- Monopolistic Competition and International Trade
- Trade and Increasing Returns: Evidence
- International Trade Disciplines Monopolies
- Intra-firm Trade
- Intra-Industry Trade
Module 2. Trade policies
4. Tariffs and Non-tariff trade barriers ch 4-5
- Why do countries restrict trade? – video
- Trade and Tariff History
- Types of Trade Restrictions
- Tariffs, Quotas, and Non-Tariff Barriers – global edge
- Impact of Import tariffs video
- Tariffs in American History- wikipedia
- US international trade commission tariff schedule
- Protectionism by Jagdish Bhagwati
- Free Trade by Alan S. Blinder
- John Stuart Mill, terms of trade
- Effective Rate of Protection
- Optimal Tariffs
- The Political Economy of Tariffs
- International Trade and Welfare Costs of Tariffs
- The Smoot-Hawley Tariff
- Malawi restricts trade in corn
5. Industrial policies ch 6
- GATT/WTO – video
- World Trade Organization – video
- World Trade Organization
- WTO site
- Industrial policy: theory – deliberate govt attempt to pick winners
- Industrial policy: evidence
- Calculation of profit and loss
- Conditional convergence
- Local monopoly power
- The WTO has failed developing nations -guardian
- Firm myths
- Productivity in Firms
- Unbundling the Supply Chain
- South Korea and Industrial Policy
- Robert Torrens and sliding tariffs
- Robert Torrens on strategic trade policy
6. Trade policies for developing countries ch 7
- Basic Facts of Growth and Development
- Geography and Development, Trade
- Development and Trade: Empirical Evidence – more open economies have higher GDP
- Is there a Natural Resource Curse?
- Does “Fair Trade” Help?
- The World Bank
- The IMF
- Local Perspectives: Korea, Japan, Mexico…
- Liberalization: The “Deregulation” of International Trade
- The cultural diversity critique of markets
- Market reforms in Bangladesh
7. Regional trade arrangements ch 8
- Trade blocs – video
- Regionalization and Trading Blocs -global edge narrated ppt
- Trading blocks info and Regional Trade Agreements – global edge
- United States Free Trade Agreements
- NAFTA – global edge
- NAFTA’s failure has cost the United States jobs – epi
- Free Trade Agreements and Customs Unions by Douglas A. Irwin
- Does Fair Trade Help?
- Who Supports Free Trade?
- Does Trade Help the Environment?
Module 3. MNC, BOP & ER
8. Movement of labor & capital by multinationals ch 9
- Who gains from FDI?
- Multinational Sourcing – global edge
- Organizational Structure of MNCs – global edge
- Stealing Africa – Why Poverty? – BBC Documentary – how MNCs steal resources
- Two myths about multinationals
- Global FDI – economicsonline
- Child Labor
- Corruption and Tech Transfer
- Conditional convergence of productivity in manufacturing
- Basics of Multinational Corporations
- Gains from Multinationals
- Economics of Offshoring
- Basic Facts about Migration
- Wage Gains from Immigration
- Remittances
- Is there a Brain Drain?
- Wage Effects in the U.S.
9. Balance of Payments ch 10
10. Exchange rates ch 11, 12
- Purchasing Power Parity
- Real Exchange Rates
- Real and Nominal Exchange Rates
- Are Devaluations Contractionary?
- Forward Exchange Rates
- Covered Interest Parity
- Uncovered Interest Parity and the Carry Trade
- Speculative Attacks
- The “Peso Problem”
- Long Swings in Exchange Rates
- Swiss Franc Peg
- Introduction to Foreign Exchange Markets youtube
- Determinants of Exchange Rates and Managed Exchange Rate Systems youtube
- Exchange Rates -youtube
- short video on “Black Wednesday” -YouTube
11. Exchange rate regimes and currency crises ch 15
- Speculative Attacks
- The “Peso Problem”
- Long Swings in Exchange Rates
- Swiss Franc Peg
- Bela Balassa
- International Monetary Systems – global edge
- Financial crisis, Asia to Argentina
- The Crash – link to the story of financial crisis
- Asian Financial Crisis of 1997
- Mexico and the 2008 Financial Crisis
- Sudden Stops
12. Macro policy in an open economy & International banking: reserves, debt risk Ch 16-17
- The Classical Gold Standard
- Gold Exchange Standard
- Bretton Woods
- Reserve Currencies
- Safe Haven Currencies
- Capital Controls
- Currency Manipulation
- Chinese Currency Manipulation
- Borrowing in Your Own Currency
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- Dani Rodrik, Has Globalization Gone Too Far? – online book on why trade restrictions may be justified
- John Perkins on Poverty and Globalization – ex-econ hit man on corporatocracy
Extra resources
- Export resources from export.gov – market research, country commercial guides
- Exporting -mp3 audio tutorials
- Export Tutorials -global edge
- International Trade Administration – govt site
- Basic guide to exporting – US govt
- Inside the Mind of the Chinese Middle Class
- PBS Documentary : China from the Inside
- South Korea documentary
- Let Africa Trade With Africa – nontariff barriers in Africa
- World Bank’s book Beyond Economic Growth
- Online books free at Paterson Institute for International Economics
- Book online – Macro from NYU Stern
- International Business – book
- Todaro and Smith:Theories of development textbook chapter
- E-Book on International Finance & Development
- TED talk: “Nandan Nilekani’s Ideas for India’s Future”
- Robert Neuwirth: The power of the informal economy
- Pankaj Ghemawat: Actually, the world isn’t flat
- George Ayittey on Cheetahs vs. Hippos
- Hans Rosling: Stats that reshape your worldview
- Hans Rosling: New insights on poverty
- Emily Oster flips our thinking on AIDS in Africa
- Parag Khanna maps the future of countries
- Richard Wilkinson: How economic inequality harms societies
- “Martin Jacques: Understanding the Rise of China” – TED talk
- “Paul Collier on the ‘Bottom Billion’” – TED talk
- http://baselinescenario.com/
- http://www.bea.gov/international/index.htm – stats on trade
- United States Agency for International Development (USAID)
- Non-Enterprise Industry – global edge -technology, education, piracy policies
- Trade and financial crises – a .pdf file
- Your coffee dollar – a story on global coffee market from PBS
- Free case studies from Stanford – business