ECON 2500NA - International Trade & Investment Policy II

Ngee Ann-Adelaide Education Centre - Trimester 3 - 2017

This is an introductory undergraduate course in international trade. The course covers the following standard topics: the main reasons for trade, trade patterns, trade and income distribution, FDI and immigration, trade policy instruments, WTO and the multilateral trading system, trade agreements. The course may also cover additional topics such as offshoring, trade and child labour, globalisation and environment.

  • General Course Information
    Course Details
    Course Code ECON 2500NA
    Course International Trade & Investment Policy II
    Coordinating Unit School of Economics
    Term Trimester 3
    Level Undergraduate
    Location/s Ngee Ann-Adelaide Education Centre
    Units 3
    Contact Intensive
    Available for Study Abroad and Exchange Y
    Course Description This is an introductory undergraduate course in international trade. The course covers the following standard topics: the main reasons for trade, trade patterns, trade and income distribution, FDI and immigration, trade policy instruments, WTO and the multilateral trading system, trade agreements. The course may also cover additional topics such as offshoring, trade and child labour, globalisation and environment.
    Course Staff

    Course Coordinator: Ms Jo-Ann Spry

    TBA
    Course Timetable

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

  • Learning Outcomes
    Course Learning Outcomes

    The aim of this course is to enable students to define core concepts in international economics and to apply these concepts to a range of policy related questions. The course pays particular attention to explaining the basic reasons why countries engage in international trade and investment and how trade affects consumers, workers and firms. It provides students an overview of current trade and investment patterns and the world trade system. A key objective of this course is to provide students with the necessary tools so that they can analyze currently discussed issues in international economics and formulate and evaluate potential policies for the instutions and/or governments they may work for in the future.

    On successful completion of this course, students will be able to:

    1 Explain the concept of comparative advantage.
    2 Describe the essentials of trade theories.
    3 Identify potential winners and losers from trade.
    4 Describe the effects of multinational activity of firms and foreign direct investment.
    5 Explain effects of migration.
    6 Assess the economic impacts of trade, investment, and migration policies.
    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 to 6
    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
    1 to 6
    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
    1 to 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
    1 to 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
    4, 5, 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
    1 to 6
  • Learning & Teaching Activities
    Learning & Teaching Modes

    No information currently available.

    Workload

    No information currently available.

    Learning Activities Summary

    Week 1: 3 October to 7 October
    Session 1 Globalization:  overview Readings
    Globalization and its discontents

    Why the backlash against free trade and foreign investment?

    Who are the winners and losers from Globalization?
    Challenges and Opportunities in International
    Business (v. 1.0) Chapter 1.

    http://www.investopedia.com/articles/economics/10/globalization-developed-countries.asp

    “Globalization Backlash 2.0” Economist, July 27, 2016.

    “The Globalization disconnect” by Stephen S. Roach, Project Syndicate, July 25, 2016.

    Chapter 1, Making Globalization Work, 2006/2007 North and Company, Joseph Stiglitz.
    Session 2 International Trade Theory:  Some key concepts Readings
    Classical country-based theories vs modern firm-based theories

    Classical theory: opportunity cost; comparative
    vs absolute advantage

    Limitations of classical theory
    Challenges and Opportunities in International
    Business (v. 1.0) Chapter 2.1
    Session 3 Firm-based theories Readings
    Intra-industry trade, country similarities, product life-cycle, strategic rivalry and national competitive advantage

    Limitations of firm-based theories

    Challenges and Opportunities in International
    Business (v. 1.0) Chapter 2.1
    Session 4 Legal and Government factors that impact on trade and FDI Readings
    Legal systems, tariffs, quotas dumping legislation and other restraints on trade

    Foreign Direct Investment

    Firm level investment decisions and the role of
    governments in facilitation of FDI
    Challenges and Opportunities in International
    Business (v. 1.0) Chapter 2 2.-2.3
    Session 5 Structure of the global economy Readings
    Contribution to the global economy as measured by GDP

    Classification of economies: Advanced, emerging and developing

    Challenges and Opportunities in International
    Business (v. 1.0) Chapter 4

    http://www.economist.com/node/11848592
    Week 2:  14 November to 18 November
    Session 6 International monetary system Readings
    The role of the IMF: friend or villain?

    The de facto US dollar standard

    The World Bank

    Asian Development Bank

    Th e global monetary system: a de facto US $ standard

    Reform and evolution of the international monetary system. An Asian IMF?
    Challenges and Opportunities in International
    Business (v. 1.0) Chapter 6

    https://www.cigionline.org/blogs/global-economy/case-christine-lagarde
    Session 7 Foreign exchange markets and exchange rates Readings

    Exchange rate regimes – fixed, floating and managed.
    Currency boards, dollarization and currency unions.
    Any good ideas?

    Trade and capital flows influence on exchange rates. Recipes for currency and banking crises?
    Challenges and Opportunities in International
    Business (v. 1.0) Chapter 7
    Session 8 Global and regional economic integration Readings
    History: Post WW II institutions: IMF and Bretton Woods, GATT, World Bank, Marshall Plan, OECD, BIS

    Current institutions: IMF (post Bretton Woods), WTO, OECD, EU, ASEAN, BRICs

    Role of WTO and collapse of the Doha Round

    Free trade agreements:  NAFTA, and other bi-lateral agreements

    Trans-pacific Partnership (TPP)

    Trans Pacific Trade and Investment Partnership (TTIP)

    BREXIT, the EU and the Euro

    The end of Globalization?
    none
    Session 9 International investment from a firm’s perspective revisited Readings
    PESTEL and CAGE analysis

    Scenario planning
    Challenges and Opportunities in International
    Business (v. 1.0) Chapter 8
    Session 10 Overview and revision of key concepts
  • 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
    Tutorial assessment (participation and hand-up work) 20%
    Mid-course assignment 20% (electronic submission) 20%
    Final exam 60%


    Assessment Detail

    No information currently available.

    Submission

    No information currently available.

    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.

  • 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.

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