Advanced Topics in International Economics

3 credits · Undergraduate

Globalization and its consequences have interested economists and the public since Adam Smith and David Ricardo. However, the nature of the global economy has changed dramatically over time. Paraphrasing Ricardo’s famous example, “it’s not wine for cloth anymore.” This course will introduce a modern view on international trade focusing on firms as vehicles of trade. We will study key theoretical models of New Trade Theory and apply them to understand the consequences of a range of trade policies from the recent past, such the NAFTA agreement and China’s entry to the WTO. We will combine theoretical models, empirical econometric tools, and data to understand the impacts of trade and offshoring on trade flows,aggregate welfare,and inequality