| Institute of Food and Resource Economics | |||||||||||
| Earliest Possible Year | |||||||||||
| Duration | 1 semester | ||||||||||
| Credits | 6 (ECTS) | ||||||||||
| Course Level | Joint BSc and MSc Mandatory BA course in Agricultural Economics | ||||||||||
| Examination | written examination No aid allowed Description of Examination: 13-point scale, internal examiner Dates of Exam: | ||||||||||
| Organisation of Teaching | Lectures: 1 course module per week | ||||||||||
| Block Placement | F5, spring | ||||||||||
| Teaching Language | English may be conducted in Danish | ||||||||||
| Optional Prerequisites | 096711 | ||||||||||
| Course Objectives | |||||||||||
| To make the students understand the importance of the increasing economic internationalisation and to understand how economic theory can be applied in analysing international economic issues and in analysing the interrelationships between different economies.The purpose is to strengthen the students' knowledge of economic theory of special relevance to international economics namely trade theory,the theory of perfect and imperfect competition, and international cooperation in the GATT/WTO and EU | |||||||||||
| Course Contents | |||||||||||
| In the first part of the course it is shown how a general equilibrium model can be built, based on the production theory and demand theory taught in the course Economics. This analysis shows how a series of economic variables including exports, imports, terms of trade and welfare can be determined in a model consisting of two countries. It is explained in the course how comparative advantages either associated with differences in productivity (Ricardo) or differences in factor proportions (factor proportion theory) can explain trade. A Keynesian model is then used to illustrate how the economic activity in one country depends on the activity in a second country. In the second part of the course, it is shown how different trade and industrial policy instruments have different impacts according to the assumptions about the markets. The course applies partial and general equilibrium models in the analyses. It will be shown how the economic results depend on the markets, whether they are perfect or whether there are domestic and foreign imperfections such as monopoly or imperfect competition. The course examines how production, consumption and factor market externalities influence the way different instruments work. It is demonstrated that free trade without intervention is not always the best policy.In the third part the extensive international cooperation in relation to trade and industrial policies is examined. At the global level there is a cooperation in the GATT/WTO and at the regional level in the EU. The course explains the reasons behind this and analyses the results of the international cooperation. | |||||||||||
| Teaching And Learning Methods | |||||||||||
| Lectures | |||||||||||
| Course Litterature | |||||||||||
| Søren Kjeldsen-Kragh (2002): International Economics (is also available in Danish) Søren Kjeldsen-Kragh (2001): International Trade Policy (is also available in Danish). | |||||||||||
| Course Coordinator | |||||||||||
| Wusheng Yu, wusheng@foi.dk, Institute of Food and Resource Economics/International Economics and Policy Division, Phone: 35336812 | |||||||||||
| Study Board | |||||||||||
| Study Committee NSN | |||||||||||
| Course Scope | |||||||||||
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