APPLIES TO ACADEMIC YEAR 2014/2015

EXC 3603 International Economics

Responsible for the course
Per Botolf Maurseth

Department
Department of Economics

Term
According to study plan

ECTS Credits
7,5

Language of instruction
English

Introduction
The course gives the students an introduction to international economics. Among the topics are gains from and problems with international trade and economic globalization. The course gives an overview of main theories of international trade and international investments. The course also covers trade policy.

Learning outcome
The course introduces the students to the main concepts of international economics. Among the topics covered are the gains and problems of globalization, theories of comparative advantages, international trade and increasing returns, international factor movements and trade policy. The course introduces the students to economic theories in international economics as well as empirical regularities. It also places an emphasis on international trade policy issues. Do tariffs support or retard economic development? Do export subsidies harm other countries? Who gains and who loses from economic integration? Relationships between poor and rich countries are also discussed.

Acquired knowledge
During the course students will:

• Achieve an understanding of sources of comparative advantages and of increasing returns as a reason for international trade.
• Acquire knowledge of effects of international trade for the exporting and the importing countries and for the internal income distributions in the integrating countries.
• Acquire knowledge about international capital movements and labour migration and their relationships with international trade.

• Be able to handle analytically the main theories in international trade.
• Be able to discuss and analyse main topics and issues in the debates on globalization.
• Have skills to understand gains and losses from international integration and how these influence the internal income distributions in the trading countries.
• Be able to follow public debates on globalisation, international trade and economic integration.

• Trade with goods and services
• International trade theory
• Imperfect competition and economies of scale
• Income effects related to trade
• International factor movements
• Trade policy