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International Economics
Last Updated: 2026-02-05 15:29:38
Abstract
Microeconomic principles; General equilibrium in closed and open economies; Traditional trade theory; Importance of increasing returns to scale; Imperfect competition; Public policies; Empirical content of trade theory
Objective
Microeconomic Principles are taught; Discussion of traditional and new trade theory; Discussion of the role of technological progress; Discussion of importance of public policies
Content
Globalization is one of the major development trends in the world economy today. To understand the causes and consequences of globalization, we need a basic knowledge of international trade theory. This course aims at getting familiar with the theory of international trade. At first, traditional approaches (the Ricardo model and the Heckscher-Ohlin model) are discussed. More recent approaches (keywords are "imperfect competition" and "increasing returns to scale") are also considered, and we highlight the role of technological progress as well as the importance of public policy. In addition, we discuss some of the latest research on the effects of trade and globalization on the environment and on inequality.
Resources
Lecture Notes
Lecture notes will be provided successively in the course of the semester.
Literature
- Markusen, J.R., J.R. Melvin, W.H. Kaempfer and K.E. Maskus, International Trade: Theory and Evidence, McGraw-Hill, New York, 1995. - Krugman, P.R. and M. Obstfeld, International Economics: Theory and Policy, Pearson, Boston, 2006. - Krugman, P. R., Rethinking International Trade, MIT Press, Cambridge (Massachusetts), 1994. (optional only) - Baldwin, R. and C. Wyplosz, The Economics of European Integration, McGraw-Hill, New York, 2006, 2nd ed. (optional only).
General Information
- Language
- English
- Levels
- DS , MSC
- Frequency
- Yearly recurring
Examination
- Type
- session examination
- Mode
- written 90 minutes
- Aids
- Nicht programmierbarer Taschenrechner (non-programmable calculator) Language dictionary
Course Components
| Type | Title | Time & Place | Hours |
|---|---|---|---|
| lecture |
International Economics
Lehrsprache: Englisch gegebenenfalls Deutsch.
|
|
2 h weekly |
Offered In
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Management, Technology and Economics Master (Welcome and Introduction to new MSc MTEC ETH Monday, 18th February 2008, 16.15h, room: ML F 36)
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Application Area (only necessary for MSc in Applied Mathematics)
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