International Economics, 7.5 Credits

Contents

This course provides an understanding of the theories, policies, and practices related to international trade. Students will be introduced to the theories that explain trade patterns, the policies governing trade, and the practical implications for businesses and economics.

Through a combination of theoretical frameworks case studies, students will explore topics such as comparative advantage, trade patterns, tariffs, trade agreements, and globalization's impact on economic welfare. This approach helps students understand the practical implications of economic principles and policies.

This course includes analyses of how globalization and the increasing interconnectedness of economies affects economic welfare, including its implications for income distribution and employment. This includes examining how trade can lead to efficiency gains, increased consumer choice, and higher standards of living, as well as considering potential drawbacks such as job displacement and income inequality.

Overall, the course equips students with an understanding of the theory, policy, and practice of international trade, preparing students to analyze and contribute to discussions on global economic issues.

Expected learning outcomes

Having completed the course, the student is expected to be able to:

Knowledge and understanding

• explain the fundamental theories of international trade, including comparative advantage, the Ricardian model, the Heckscher-Ohlin model, and the gravity model.
• explain emerging trends in global trade patterns, including trade tensions and trade wars, and their implications for global economic stability and welfare.

Competence and skills

• analyze the effects of various trade policies such as tariffs, quotas, and subsidies on domestic and international markets, and assess their implications for economic welfare and efficiency.
• apply trade models to real-world data.
• communicate economic ideas and arguments in English effectively.

Judgement and approach

• evaluate the roles and impacts of international trade agreements, including regional trade agreements and multilateral agreements, governed by organizations like the World Trade Organization (WTO), on participating economies.
• critically assess the impacts of globalization on various aspects of economic activity, including labor markets, income distribution, technological progress, and environmental sustainability.
• evaluate different trade and development strategies, for developing countries, considering their effectiveness and challenges.
• take into account ethical considerations in international trade, including fairness, equity, and environmental sustainability, and the importance of global cooperation in addressing common challenges.

Required Knowledge

30 credits in economics and Mathematics 3b/3c or equivalent. Proficiency in English equivalent to the Swedish upper secondary course English 6.

Form of instruction

Learning is supported by classroom teaching and supervision.

Examination modes

The examination consists of an individual written assignment and an individual written hall exam.

The following grading scale will be used for the course: Pass with Distinction (Väl Godkänd, VG), Pass (Godkänd, G) and Fail (Underkänd, U).

The course grade is based on a summary assessment of the results of the included examinations and is set when the module has finished, and all examinations have been assessed. To receive the grade of Pass (G) for the module, it is required that all examinations are passed.

A student who does not pass the first examination will be offered an opportunity to sit a re-examination within two months. An additional examination opportunity is normally offered every academic year, one week prior to the start of the autumn term. If required by specific circumstances, other forms of examination may be used.

A student that has failed an examination on two occasions has a right to have another examiner or grading teacher appointed, unless there are special reasons against it. A written request addressed to the Director of Studies should be made no later than two weeks before the next examination opportunity.

Exceptions from examination form as stated in the syllabus can be made for a student who has a decision on pedagogical support for disabilities. Individual adaptations of the examination form should be considered based on the student's needs. The examination form shall be adapted within the framework of the expected learning outcomes stated in the course syllabus. At the request of the student, the course responsible teacher, in consultation with the examiner, must promptly decide on the adapted examination form. The decision must then be notified to the student.

Academic integrity and cheating

As a student, you are expected to act with academic integrity. This means writing and presenting within the limits of the academic rules and expectations as communicated in the university's regulations and what is otherwise specified by the responsible department.

Disciplinary action may be taken against students who use unauthorized help aids or in some other way try to mislead on a test or on another type of task for examination. Rules and regulations concerning the production of academic texts and correct referencing will be applicable to written assignments. Submitted material may be subject to plagiarism control. In addition, Umeå University rules and regulations for education and research apply.