(Click here for complete outlines from previous year.)

  • Sep 28: Reasons for Protection
    •
    1. Reasons that Do NOT Make Economic Sense
      1. Pauper Labor
      2. Fairness
      3. Patriotism
      4. Retaliation
    2. Reasons that DO Make Economic Sense, with Counter-Arguments
      1. Revenue
      2. Optimal Tariff
      3. Infant Industry
      4. National Security
      5. Culture
      6. Protect Favored Industry
      7. Retaliation...
  • Sep 26: Nontariff Barriers
    •
    1. What Are NTBs?
    2. Quotas
      1. Effects Equivalents to Tariffs
      2. Who Gets the Rents
    3. Other NTBs
      1. Tariff-Rate Quotas
      2. Voluntary Export Restraints (VERs)
      3. Variable Levies
      4. Government Procurement Regulations
      5. Customs Procedures
      6. Standards
      7. Unfair Trade Laws
    4. Subsidies

  • Sep 21: Tariffs
    1. What Are They?
    2. Who Uses Them?
    3. Effects of Tariffs
      1. Small Country Case
        1. Effects on quantities and prices
        2. Effects on economic welfare
      2. Large Country Case
        1. Effect on world price
        2. Effect on welfare
      3. Size of these Effects

  • Sep 19: Modern Theories and Additional Effects of Trade
    1. Sources of Comparative Advantage
    2. The Heckscher-Ohlin Model
      1. Main Idea
      2. Intuition
      3. Does the Theory Work?
    3. Effects of Trade
      1. Changes in Production
      2. Factor Price Equalization
    4. The New Trade Theory
      1. Assumptions
      2. Implications

  • Sep 14: Comparative Advantage and the Gains from Trade
    1. Why Countries Trade
      1. Price Differences
      2. Supply and Demand
      3. Determinants of Prices
    2. Ricardian Model of Trade
      1. Examples
        1. With Absolute Advantage
        2. With Comparative Advantage
      2. Wages and Prices in the Ricardian Model
      3. Lessons of the Ricardian Model
    3. Generality of Gains from Trade

  • Sep 12: Institutions of the International Economy
    1. The Three Main Institutions
      • IMF = International Monetary Fund
      • World Bank
      • WTO = World Trade Organization
      1. Why They Were Created, and When
      2. How They Have Changed
      3. Their Reputations Today
    2. Other Institutions
      1. United Nations
      2. OECD=Organization for Economic Cooperation and Development
      3. Preferential Trading Arrangements
    3. What's Happening Now?

  • Sep 7: International Economics Introduction and Overview
    1. Course Organization
    2. Overview of the World Economy
      1. Elements of the World Economy
      2. Ways that Countries Interact
        1. Trade
        2. Capital Flows
        3. Migration
      3. Policies that Affect Others