The course analyzes the fundamental elements of modern international economic theory and policy. The objective is to understand the behavior of the main economic variables at a global level, paying attention to the aspects of international trade and open economy macroeconomics. International economic phenomena will be studied by taking into account theoretical and empirical standpoints. Issues pertaining international trade and open macroeconomic policy formulation, and their consequences, will be addressed also in light of current global events and current economic and social trends. This course is inspired by the Fully Enquiry Based Learning model.

Knowledge and understanding The course will offer key theoretical tools to compare international economics theories and to understand pros and cons on each one. The course provides advanced knowledge that will enable students to understand the processes, content and consequences of different policies across countries and globally as well as their potential impact on international affairs. Applying knowledge and understanding The students will be able to: -apply international trade theories to current economic situation -examine international trade policies through comparing different approaches across countries in Europe, USA and Asia -look at how politics and institutions shape, constrain and enable policy making Making judgments We expect students to be able to analyze international economics theories, public policy and governance models to demonstrate an in-depth, critical understanding of their scope and challenges. Throughout the whole course, students will be invited to critically analyze current events that influence international economics. Communications Skills This course will give the students the possibility to acquire and understand major terms and concepts in order to communicate their ideas, proposals, analysis and critical reasoning. This will be done through individual contribution in class, class discussions and simulations and team work among students. Learning skills This course will contribute to empower learners giving them the tools to determine benefit and challenges of certain policies and the impact of current events on international economics.

International trade theory Absolute cost advantage Comparative advantage Specific factor model Heckscher–Ohlin model Standard model International trade policy The instruments of trade policy Trade Restrictions: tariffs Nontariff trade barriers and the political economy of protectionism International trade agreements and the World Trade Organization Economic integration: customs unions and free trade areas International trade, economic growth and development Trade policy, recent events and international affairs Free trade vs. Trade policies The balance of payments, foreign exchange markets, and exchange rates Balance of payments The foreign exchange market and exchange rates Exchange rate determination Foreign exchange war Global imbalances and debt sustainability The 2008 crisis: exacerbation of trade unbalances or excessively expansionary monetary policy? International Macroeconomics Policy Fiscal and monetary policy under fixed and flexible exchange rates The International Monetary System and the role of the International Monetary Fund and the World Bank Theory of optimum currency areas and the Euro The future of the Eurozone Globalization: Opportunity and Crisis Global value chains Technology, trade and the international division of labor The globalization paradox De-globalization trends

The following books are strongly recommended: Magnani Marco, The great disconnect, Hopes and fears after the excess of globalization, Bocconi University Press, 2024, ISBN 979-12-8062-314-0 Italian edition: Magnani Marco, Il grande scollamento, Timori e speranze dopo gli eccessi della globalizzazione, Bocconi University Press, 2024, ISBN: 979-12-8062-315-7 Krugman P., Obstfeld M., Melitz M.: International economics, theory and policy (11th ed, Pearson)

Lectures (often interactive), team work and group presentations, case studies’ discussion, Oxford debate, possible guest speakers.

For students attending the course: - Attendance, participation and individual contribution to class discussions: 25% of the grade (attendance to class will be monitored) - Group presentations and class discussion on case study 1 and individual discussions on case study 2: 25% of the grade - Individual test (written): 25% of the grade. Midterm will cover the first part of the course (international trade theory and policy). Exact date of the midterm will be announced on the first day of the course. - Final exam (written, with possibility of additional oral questions): 25% of the grade. The final exam is comprehensive (covers the whole course program). The final exam evaluation may also include, at the sole discretion of faculty, some oral follow up questions between the date of the written exam and the day in which grades are posted. Retake Sessions: In the first available retake session, attending students who did not participate to any previous examination sessions (scheduled after the end of the semester) can decide to maintain either the grade obtained during the semester or to be assessed as non-attending After the first available retake session, in the other retake sessions the students will be considered and assessed as non-attending Non-attending students Students will do the final written exam, in the examination session scheduled after the end of the semester and/or in the retake sessions, based on an extended course program. Format, number of questions and timing of the exam for non-attending students, may be different than those of the final exam for attending students. Extended course program is represented by all the topics covered in the two books recommended in the syllabus. Final exam will account for 100% of the grade. *non-attending students are those who, at the beginning of the semester, have demanded to obtain this status to the Graduate School and whose requests have been accepted by the Dean.

Instructor's approval of final paper's topic.