International Economics. Chapter 1
What is globalization?
The increasing integration of economies around the world,
Goods and services flows
Movement of ideas and people
International Economics. Chapter 11
THE FOREIGN EXCHANGE MARKET &
Foreign Exchange Market
The foreign exchange market is the framework for the
exchange of one national currency for another.
Functions of the foreign exchange markets.
BALANCE OF PAYMENTS & FOREIGN
International Economics. Chapter 10
BALANCE OF PAYMENTS
Balance of Payments
The balance of payments provides a summary statement
of international transactions for a nation for a specified
International Economics. Chapter 7
Economic integration refers to the commercial policy of
discriminately reducing or eliminating barriers to trade
between a select group of countries.
Forms of Economic Integrati
International Economics. Chapter 6
NONTARIFF BARRIERS & THE
POLITICAL ECONOMY OF
Types of NTB
Economic impact of quota
Political economy of trade policies
Fallacious arguments: why are they not valid?
Infant industry polici
International Economics. Part 2
TRADE RESTRICTIONS & POLITICAL
ECONOMY OF INTERNATIONAL TRADE
Movements Away From Free Trade
While it is generally accepted that free trade best
enhances societal welfare, complete free trade is seldom
International Economics. Chapter 4
NEW TRADE THEORY & OTHERS
Theories of international trade
This chapter extends this analysis in three ways:
The cause of comparative advantage is considered.
The implications for factors return
International Economics. Chapter 3
THE STANDARD TRADE MODEL
Increasing Opportunity Costs
Question: is it realistic to always complete the exterior of
a house in 4 hours or clean the interior for 30 minutes?
Increasing opportunity cost
International Trade Theory
Analyzes the basis of and the gains from international trade.
Focuses on the microeconomic aspects of the international
Questions to Answer
What is the basis for trade?
What is the pattern of trade?
International Economics. Chapter 13
How is a trade deficit automatically closed by price and
In this chapter private international financial flows are assumed
to be passive responses to cover temporary tra