ECON 7072 - International Trade PG

North Terrace Campus - Semester 1 - 2016

This course deals with the theory and practice of international trade and of trade-related policies. It focuses on analysing the gains from trade, the changing patterns of trade, the income distributional consequences of liberalising foreign trade, the relationship between trade, investment, and economic growth, and the reasons for and consequences of trade policies. The course relies predominantly on a standard collection international trade models to understand the motivations behind modern trade policies. During the weekly seminar, students then analyse the efficacy of trade policy, considering both intended and unintended consequences of policy choices with particular attention paid to the changing geopolitical environment in which these policies exist.

  • General Course Information
    Course Details
    Course Code ECON 7072
    Course International Trade PG
    Coordinating Unit School of Economics
    Term Semester 1
    Level Postgraduate Coursework
    Location/s North Terrace Campus
    Units 3
    Contact Up to 3 hours per week
    Available for Study Abroad and Exchange Y
    Assumed Knowledge ECON 7011
    Restrictions Available to ProCertPubPolicy, GradCertEc, GradCertIntEc, GradDipAppEc, GradDipIntEc, MAppEc, MAppEc(Int), MAppEc(PubPol), MFinBusEc students only
    Course Description This course deals with the theory and practice of international trade and of trade-related policies. It focuses on analysing the gains from trade, the changing patterns of trade, the income distributional consequences of liberalising foreign trade, the relationship between trade, investment, and economic growth, and the reasons for and consequences of trade policies.
    The course relies predominantly on a standard collection international trade models to understand the motivations behind modern trade policies. During the weekly seminar, students then analyse the efficacy of trade policy, considering both intended and unintended consequences of policy choices with particular attention paid to the changing geopolitical environment in which these policies exist.
    Course Staff

    Course Coordinator: Dr Raul Barreto


    Office location: Room 4.41, 10 Pulteney Street

    Tutor:  
    Jacky Charles  jacky.charles@adelaide.edu.au
    Course Timetable

    The full timetable of all activities for this course can be accessed from Course Planner.

  • Learning Outcomes
    Course Learning Outcomes
    On successful completion of this course students will be able to:
    1 understand, at the level of formal analysis, the major models of international trade and be able to distinguish between them in terms of their assumptions and economic implications
    2 understand the principle of comparative advantage and its formal expression and interpretation within different theoretical models
    3 be able to apply partial equilibrium and (where required) general equilibrium models in analysing the economic effects of (a) trade policy instruments such as tariffs, quotas, export subsidies, (b) retaliatory measures such as anti-dumping duties and countervailing duties and (c) the creation of regional trading arrangements such as free trade areas, customs unions and common markets
    4 be familiar with, and be able to critically analyse the main arguments for protection and conversely be able to critically evaluate the relevance and realism of arguments for free trade, taking into account the costs and benefits of trade policy measures on different sections of the community and the implications for the formulation of trade policy
    5 be familiar with the major recent developments in the world trading system, and be able to critically analyse key issues raised both by the current round of WTO negotiations and by the spread of regional trading arrangements
    6 develop communications skills through the presentation of your work, interactions during tutorial sessions, and appropriate use of the discussion board
    University Graduate Attributes

    This course will provide students with an opportunity to develop the Graduate Attribute(s) specified below:

    University Graduate Attribute Course Learning Outcome(s)
    Deep discipline knowledge
    • informed and infused by cutting edge research, scaffolded throughout their program of studies
    • acquired from personal interaction with research active educators, from year 1
    • accredited or validated against national or international standards (for relevant programs)
    1,2,3,4
    Critical thinking and problem solving
    • steeped in research methods and rigor
    • based on empirical evidence and the scientific approach to knowledge development
    • demonstrated through appropriate and relevant assessment
    3,4,5
    Teamwork and communication skills
    • developed from, with, and via the SGDE
    • honed through assessment and practice throughout the program of studies
    • encouraged and valued in all aspects of learning
    5,6
    Career and leadership readiness
    • technology savvy
    • professional and, where relevant, fully accredited
    • forward thinking and well informed
    • tested and validated by work based experiences
    4,5,6,
    Intercultural and ethical competency
    • adept at operating in other cultures
    • comfortable with different nationalities and social contexts
    • Able to determine and contribute to desirable social outcomes
    • demonstrated by study abroad or with an understanding of indigenous knowledges
    6
    Self-awareness and emotional intelligence
    • a capacity for self-reflection and a willingness to engage in self-appraisal
    • open to objective and constructive feedback from supervisors and peers
    • able to negotiate difficult social situations, defuse conflict and engage positively in purposeful debate
    4,5,6
  • Learning Resources
    Required Resources

    International Trade: Theory and Evidence by Markusen, Melvin, Kaempfer and Maskus, Mcgraw Hill, 1995

    This textbook is available free of charge and may be downloaded from: http://spot.colorado.edu/~markusen/textbook.html 

    Recommended Resources
    Robert C. Feenstra and Alan M. Taylor, International Trade (3rd Edition), 2014 Worth Publishers.
    Online Learning
    MyUni - http://www.myuni.adelaide.edu.au

    Other online Resources:
    WTO: http://www.wto.org 
    UNCTAD: http://www.unctad.org 
    OECD: http://www.oecd.org 
    International Center for Trade and Sustainable
    Development: http://www.ictsd.org 
    The World Bank: http://www.worldbank.org 
    Alan Deardorff’s Glossary of International Economics Terms:
    http://www.personal.umich.edu/~alandear/glossary
  • Learning & Teaching Activities
    Learning & Teaching Modes

    Learning in this course is through lectures, tutorials, and personal study.

    The lectures will provide you with the necessary understanding of the material to be able to solve the exercises you will be given during tutorials or exams.

    Tutorials represent an important learning component of the class. Students are expected to work through the assignments and prepare solutions to be discussed during the tutorial time.

    Workload

    The information below is provided as a guide to assist students in engaging appropriately with the course requirements.

    Lectures: 1 Hour per week
    Seminar: 1 Hour per week

    Tutorials: 1 Hour per week
    Home study expectation: 6 Hours per week

    It is also recommended that students attend the Econ 3610, International Trade III Lectures which are held Tuesdays 3-5pm in Darling West Lecture Theatre. The material covered therein will greatly assist in reinforcing some of the more complicated topic that we cover.

    Learning Activities Summary

    Part I Introduction Chapters
    Wk 1 Technical Concepts - Markusen, et.al., 1 - 4
    Wk 2 Why do countries trade? - Markusen, et.al., 5 - 6
    Part II Theoretical Analysis of International Trade
    Wk 3 The Classical Model: Differing Technologies-  - Markusen, et.al., 7
    Wk 4 & 5 The Heckscher - Ohlin Model  - Markusen, et.al., 8
    Wk 5 & 6  The Specific Factors Model - Markusen, et.al., 9
    Mid Semester Examination
    Wk 7 Government Policies as the Determinants of Trade  - Markusen, et.al., 10
    Wk 8 Imperfect Competition as the Determinant of Trade and the Gains from Trade 11
    Increasing Returns to Scale  - Markusen, et.al., 12
    Wk 9 Tastes, Per Capita Income, and Technological -
    Change as the Determinants of Trade - Markusen, et.al.,
    13
    Empirical Studies of Comparative Advantage Models - Markusen, et.al.,

    14
    Part III Trade Policy
    Wk 10 Tariffs  - Markusen, et.al., 15
    Quotas and Other Non-tariff Barriers - Markusen, et.al., 16
    Week 11 Imperfect Competition, Increasing Returns -
    Strategic Trade Policy - Markusen, et.al.,
    17
    Preferential Trade Areas 18
    Week 12 The Political Economy of Trade Policy 19
    Administered Protection 20

     

  • Assessment

    The University's policy on Assessment for Coursework Programs is based on the following four principles:

    1. Assessment must encourage and reinforce learning.
    2. Assessment must enable robust and fair judgements about student performance.
    3. Assessment practices must be fair and equitable to students and give them the opportunity to demonstrate what they have learned.
    4. Assessment must maintain academic standards.

    Assessment Summary
    Students will be assessed based on the following:

    Mid-semester Test 30%
    Tutorials 20%
    Final Exam 50%
    Assessment Detail
    NOTES ON ASSESSMENT

    Assessment marks prior to the final exam may be displayed on the course website through Myuni. Students are encouraged to check their marks and notify the lecturer-in-charge of any discrepancies.

    EXAMINATIONS
    It is each student's responsibility to read the examination timetable.
    Submission

    Assignments are to be submitted via the Professions Undergraduate Hub on Ground Level of Nexus 10.

    Assignments will generally be returned during tutorials/lectures the week following submission.

    Students must not submit work for an assignment that has previously been submitted for this course or any other course without prior approval from the lecturer-in-charge.

    Course Grading

    Grades for your performance in this course will be awarded in accordance with the following scheme:

    M10 (Coursework Mark Scheme)
    Grade Mark Description
    FNS   Fail No Submission
    F 1-49 Fail
    P 50-64 Pass
    C 65-74 Credit
    D 75-84 Distinction
    HD 85-100 High Distinction
    CN   Continuing
    NFE   No Formal Examination
    RP   Result Pending

    Further details of the grades/results can be obtained from Examinations.

    Grade Descriptors are available which provide a general guide to the standard of work that is expected at each grade level. More information at Assessment for Coursework Programs.

    Final results for this course will be made available through Access Adelaide.

    Additional Assessment

    If a student receives 45-49 for their final mark for the course they will automatically be granted an additional assessment. This will most likely be in the form of a new exam (Additional Assessment) and will have the same weight as the original exam unless an alternative requirement (for example a hurdle requirement) is stated in this semester’s Course Outline. If, after replacing the original exam mark with the new exam mark, it is calculated that the student has passed the course, they will receive 50 Pass as their final result for the course (no higher) but if the calculation totals less than 50, their grade will be Fail and the higher of the original mark or the mark following the Additional Assessment will be recorded as the final result.
  • Student Feedback

    The University places a high priority on approaches to learning and teaching that enhance the student experience. Feedback is sought from students in a variety of ways including on-going engagement with staff, the use of online discussion boards and the use of Student Experience of Learning and Teaching (SELT) surveys as well as GOS surveys and Program reviews.

    SELTs are an important source of information to inform individual teaching practice, decisions about teaching duties, and course and program curriculum design. They enable the University to assess how effectively its learning environments and teaching practices facilitate student engagement and learning outcomes. Under the current SELT Policy (http://www.adelaide.edu.au/policies/101/) course SELTs are mandated and must be conducted at the conclusion of each term/semester/trimester for every course offering. Feedback on issues raised through course SELT surveys is made available to enrolled students through various resources (e.g. MyUni). In addition aggregated course SELT data is available.

  • Student Support
  • Policies & Guidelines
  • Fraud Awareness

    Students are reminded that in order to maintain the academic integrity of all programs and courses, the university has a zero-tolerance approach to students offering money or significant value goods or services to any staff member who is involved in their teaching or assessment. Students offering lecturers or tutors or professional staff anything more than a small token of appreciation is totally unacceptable, in any circumstances. Staff members are obliged to report all such incidents to their supervisor/manager, who will refer them for action under the university's student’s disciplinary procedures.

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