The course analyzes the fundamental elements of modern international economic theory and policy. Its objective is to understand the behavior of key economic variables at the global level, with particular attention to international trade and open-economy macroeconomics. International economic phenomena will be analyzed from both theoretical and empirical perspectives. Issues related to international trade and the formulation of open-economy macroeconomic policy—and their consequences—will also be addressed paying attention to international institutional contexts.

Knowledge and Understanding The course will provide key theoretical tools to compare various theories of international economics and to evaluate their respective strengths and weaknesses. It offers advanced knowledge that will enable students to understand the processes, content, and consequences of different economic policies across countries and on a global scale. Applying Knowledge and Understanding Students will be able to: • Apply international trade theories to current economic situations • Examine international trade policies by comparing different approaches in Europe, the USA, and Asia • Analyze how politics and institutions shape, constrain, and enable policy-making • Understand international macroeconomic phenomena Making Judgments Students will be able to analyze international economic theories, public policy frameworks, and governance models, demonstrating an in-depth and critical understanding of their scope and challenges. Throughout the course, students will be encouraged to critically analyze current events that impact international economics. Communication Skills The course will help students to acquire and use key terms and concepts to effectively communicate their ideas, proposals, analyses, and critical reasoning. This will be fostered through individual participation, class discussions, simulations, and teamwork. Learning skills This course will contribute to empower learners giving them the proper tools to determine benefit and challenges of certain policies and the impact of current events on international economics.

INTERNATIONAL TRADE THEORY Interindustry trade: Ricardo, Samuelson-Ricardo-Viner and Heckscher–Ohlin models Intraindustry trade: The Krugman model Firms in the global economy: Export decisions, outsourcing, and multinational enterprises International trade policy and the instruments of trade policy OPEN-ECONOMY MACROECONOMICS The balance of payments, foreign exchange markets, and exchange rates Short-run output and foreign exchange interventions with fixed exchange rates Output and exchange rates in the short run The International Monetary System Financial globalization Theory of optimum currency areas and the Euro

Krugman P., Obstfeld M. and M. Melitz, International Economics, Theory and Policy (Pearson, last edition) or Feenstra R.C. and A. M. Taylor, International Economics, (Macmillan International, last edition) Reading lists and notes will be provided during the course

Lectures, class discussions and problem sets.

Final written exam.

Instructor’s approval of the final dissertation proposal is required.