International economics is concerned with economic interactions among sovereign nations, in terms of trade in goods and services as well as investment in financial and real assets. It tries to answer questions such as: why do nations trade; what are the gains from trade; are such benefits fairly allocated across various social groups; should trade be free or protected; how much should trade and financial relations among nations be regulated, integrated, coordinated; why do monetary regimes and exchange rates matter; how do globally operating financial markets and intermediaries contribute to international risk sharing, lending and liquidity; why do some nations tend to accumulate current account deficits and foreign debt whereas other are in surplus and are net lenders. Aims: Our key objective will be to understand, analyse and discuss solutions to a number of topical issues we face in modern world economic policy. The models of international trade and finance we shall be studying in this module will provide the basic analytical tools, together with a solid and coherent framework, to achieve such a goal.

Term(s) offered: Spring term module; 20 [10 ECTS credits]
Credit: 3.0
General Education: III B 4