The course introduces theories of international economics and their application. It is concerned with the effects upon economic activity of international differences in productive resources and consumer preferences and the institutions that affect them. It seeks to explain the patterns and consequences of transactions and interactions between the inhabitants of different countries, including trade, investment and migration. The aim of this course is to provide students with an understanding of the principles and applications of international economics, so that students will be prepared to face the future complexities of the world economy.

International economics explores the theoretical foundations of International Trade and Finance. The trade section focuses on why nations trade, what they trade, and how free trade can be beneficial or detrimental to trading countries. We will also discuss what governments can do to influence trade flows and how government policy can be used as a strategic tool by a country to achieve its own international objectives; the political debate surrounding such policies are also surveyed. The finance section will focus on balance of payments and market-determined exchange rates.