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Lecture International Economics

  • Course Information

    Scope:
    2 SWS, ECTS-Points: 6
    Lecturer:
    Hayo, Bernd
    Time and Room:
    Please check the information on Marvin

    The lecture part of the module is complemented by a tutorial.
    Course language is English.

  • Objectives

    The course combines various aspects relevant for our global economy: trade theory and policy, international macroeconomics and finance, and international political economy. The tools of analysis include verbal and formal economic and political science methods. 

    After a successful completion of the course, students should be able to systematically analyse issues relating to inter­national economic affairs. In addition, they should be able to put news and statements on the global economy into perspective and make educated comments regarding their validity. 

  • Syllabus

    I. Introduction

    1. Measurement: National Accounting in Open Economies

    2. Some Empirical Facts about the Global Economy

    II. International Trade

    1. Patterns of Trade 

    2. Traditional Trade Theory

                            2.1 Production in Autarky

                            2.2 Introducing International Trade

                            2.3 A Critical Discussion of Standard Trade Theory

                            2.4 The Heckscher–Ohlin Theory

    3. Traditional Trade Policy

    4. Modern Trade Theory and Policy

    5. The International Trading System

    6. Direct Investment and Multinationals 

    III. International Macroeconomics and Finance

    1.     The Exchange Rate

    2.     Real Exchange Rate and Trade Balance

    3.     Exchange Rate Regimes

    4.     International Finance

    5.     Purchasing Power Parity

    IV. International Political Economy 

    1.     The Global Economic Order

    2.     Theoretical IPE Approaches

    3.     The Nature of Political Economy 

    4.     The International Political Economy View

    5.     Economic Sanctions

    6.     Regional Economic Integration: The case of the EU

  • Literature

    Recommended textbook literature:

    ·       Gilpin, R. (2001), Global Political Economy, Princeton: Princeton University Press. 

    ·       Krugman, P.R., M. Obstfeld and M.J. Melitz (2023), International Economics, 12th edition, Harlow: Pearson.

    ·       Mankiw, N.G. (2012), Macroeconomics, 8th edition, New York: Worth Publishers.       

    Note: None of these books is fully representative of the course. Additional reading references are provided in the lecture slides.