ECON 4008 - International Trade IV (H)

North Terrace Campus - Semester 2 - 2016

This course seeks to provide the tools necessary to obtain a clear understanding of what determines the way international trade patterns evolve through time as economies grow. That requires drawing on and strengthening our knowledge of (a) trade theories, (b) the economics and political economy of foreign trade and investment policies, and (c) quantitative modelling of global trade flows.

  • General Course Information
    Course Details
    Course Code ECON 4008
    Course International Trade IV (H)
    Coordinating Unit Economics
    Term Semester 2
    Level Undergraduate
    Location/s North Terrace Campus
    Units 3
    Contact Up to 4 hours per week
    Available for Study Abroad and Exchange N
    Prerequisites ECON 2506 , ECON 2507 OR ECON 3506
    Restrictions Available only to students enrolled in the Bachelor of Economics (Honours) program
    Assessment Typically, mid-semester exam 30%, final exam 70%
    Course Staff

    Course Coordinator: Emeritus Professor Kym Anderson

    Professor Kym Anderson
    Location: Room 4.45, 10 Pulteney Street
    Telephone: 8313 4712
    Office hours for students: 5.30-6.30pm Wednesdays

    Course Timetable

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

  • Learning Outcomes
    Course Learning Outcomes
    This course seeks to improve our understanding of the economic effects of countries engaging in international trade in goods, services, capital, labour and technologies. That understanding is useful in its own right, but it also sheds light on the reasons behind governments choosing to limit some of those cross-border flows. The open-economy, general equilibrium (economy wide) focus of the course is also helpful in other fields of economics including public finance, environmental and resource economics, agricultural or other industry/sector economics, and the economics of politics. The course assumes students have the basic toolkit of microeconomics and trade theory from International Trade III or an equivalent level III trade subject, which will be built on and applied to analyse contemporary trade and trade-related policy issues.

    The specific course learning objectives are:
    1) To understand what determines trade patterns, by exploring various trade theories
    2) To understand the links between trade and economic development
    3) To analyse the economic impacts of trade policies, including via global economic models
    4) To survey arguments for and against trade-distorting policies
    5) To understand the role of the World Trade Organization (WTO) and preferential trading agreements
    6) To develop students’ abilities to interact with the lecturer and each other in discussing trade-related economic issues
    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 5
    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
    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
    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
  • Learning Resources
    Required Resources
    No one textbook is required
    Recommended Resources
    An up-to-date reading list of papers available on MyUni will be provided at the start of and during 2nd semester
    Online Learning
    A reading list of papers available on MyUni will be provided at the start of 2nd semester and revised as needed during the semester. The PPT file used in each lecture will be uploaded on MyUni after each lecture.
  • Learning & Teaching Activities
    Learning & Teaching Modes
    Student participation in lectures is actively encouraged in the form of questions, comments and discussion.

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

    In addition to the two 2-hour classes each week, students are expected to spend an additional 8 hours each week studying the required readings in advance of and then again following each lecture.
    Learning Activities Summary
    Lecture Topics

    Heckscher-Ohlin-Samuelson and specific factors models with just two goods

    Krueger/Deardorff combination of those two models (still 2 sectors but many goods)

    Leamer development model with many goods with many goods and 3 mobile factors

    The addition of nontradables

    The roles of increasing returns, monopolistic competition, and firm heterogeneity and supply chains

    The roles of production fragmentation/supply chains and of trade costs

    Preference and technology differences across countries

    Theory of trade-distorting policies

    Policy patterns across countries and intersectorally within countries

    Estimating the economy wide effects of structural and trade policy reforms using CGE modeling

    Why do countries restrict trade, and differently at different development stages?

    What role can WTO and preferential trade agreements play in reducing trade distortions?
    Small Group Discovery Experience
    Given the small number in this course, every class period will involve student participation in discussion.
  • 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
    Mid-semester test: 30% (in a class in late August or early September).
    Final Exam: 70%
    Assessment Detail
    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.

    It is each student's responsibility to read the examination timetable.
    There will be no assignments to submit in this course.
    Course Grading

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

    M11 (Honours Mark Scheme)
    GradeGrade reflects following criteria for allocation of gradeReported on Official Transcript
    Fail A mark between 1-49 F
    Third Class A mark between 50-59 3
    Second Class Div B A mark between 60-69 2B
    Second Class Div A A mark between 70-79 2A
    First Class A mark between 80-100 1
    Result Pending An interim result RP
    Continuing Continuing CN

    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 ( 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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