AØKK08214U Advanced International Trade

Volume 2017/2018
Education

MSc programme in Economics – elective course

Content

This is a graduate-level course in international trade. The course is research-oriented with the goal of introducing students to the latest and most important research in international trade.

The course will present and discuss recent as well as classic theories of international trade. Empirical evidence is used throughout the course to examine the validity of the presented theories. Topics covered include:

  • Gains from trade and the law of comparative advantage

  • Multi-product Ricardian trade theory
     
  • Generalized Heckscher-Ohlin theory
     

  • Monopolistic competition theory with heterogeneous firms

  • Multinationals and the organization of the firm

  • Theory and empirics of the Gravity equation

  • Margins of international trade

  • Trade, tasks, offshoring and the structure of wages

  • Immigration
Learning Outcome

The objective of this graduate-level course is to equip students with an in-depth understanding of international trade and enable them to read, understand and critically reflect on the most recent theoretical and empirical research in the field.

By the end of the course, students should be able to:

Knowledge

  • Understand, describe and identify the core theories of international trade

  • Account for the stylized facts and direct empirical tests of the core theories of international trade

  • Provide an overview of recent theoretical and empirical developments in the field

Skills

  • Analyze and critically reflect on main predictions of core theories of international trade

  • Select relevant theories and methods for analyzing trade-related questions

  • Communicate and discuss key concepts in international trade

Competencies

  • Read the most recent theoretical and empirical research in international trade

  • Apply relevant theories and concepts in independent work to analyze new problems and policy proposals

 

Robert C. Feenstra (2015): Advanced International Trade: Theory and Evidence, Princeton University Press, 2nd edition, chapters 1-5.

Bernhofen, D., and J. Brown (2004): “A Direct Test of the Theory of Comparative Advantage: The Case of Japan”, Journal of Political Economy, vol. 112, no. 1, pp. 48-67.

Dornbusch, R., S. Fischer and P.A. Samuelson (1977): “Comparative Advantage, Trade, and Payments in a Ricardian Model with a Continuum of Goods”, American Economic Review, vol. 67, no. 5, pp. 823–831.

Eaton, J., and S. Kortum (2002): “Technology, Geography and Trade”, Econometrica, vol. 70, no. 5, pp. 1741–1779.

Melitz, M. (2003): “The Impact of Trade on Intra-Industry Reallocations and Aggregate Industry Productivity”, Econometrica, vol. 71, no. 6, pp. 1695–725.

Helpman, E., M.J. Melitz, and S.R. Yeaple (2004): “Export versus FDI with Heterogeneous Firms”, American Economic Review, vol. 94, no. 1, pp. 300–16.

Anderson, James E., and Van Wincoop. “Gravity with Gravitas: A Solution to the Border Puzzle.” American Economic Review 93, no. 1 (2003): 170–92.

Hummels, David and Peter Klenow (2005) “The Variety and Quality of a Nation's Exports” American Economic Review 95, no 3 704-723.

Grossman, Gene and Esteban Rossi-Hansberg (2008) “Trading Tasks: A Simple Theory of Offshoring” American Economic Review 98, no. 5:1978-1997.

Hummels, David, Rasmus Jørgensen, Jakob Munch, and Chong Xiang. 2014. “The Wage Effects of Offshoring: Evidence from Danish Matched Worker-Firm Data.” American Economic Review 104, no. 6:1597–1629.

Ottaviano, Gianmarco, Giovanni Peri, and Greg Wright. “Immigration, Offshoring, and American Jobs.” American Economic Review 103, no. 5 (2013):1925–59.

Additional readings will be announced at the beginning of the course.

It is strongly recommended that students have followed the course “International Economics” (or a course equivalent to this) prior to taking “Advanced International Trade”
Lectures.
Schedule:
3 hours of lectures every week from week 36 to 50 (except week 42).

The overall schema for the Master can be seen at https:/​/​intranet.ku.dk/​economics_ma/​courses/​CourseCatalogue-E17/​Courseschema/​Pages/​default.aspx

Timetable and venue:
To see the time and location of lectures please press the link under "Se skema" (See schedule) at the right side of this page. E means Autumn.

You can find the similar information partly in English at
https:/​​/​​skema.ku.dk/​​ku1718/​​uk/​​module.htm
-Select Department: “2200-Økonomisk Institut” (and wait for respond)
-Select Module:: “2200-E17; [Name of course]””
-Select Report Type: “List – Weekdays”
-Select Period: “Efterår/Autumn – Weeks 31-5”
Press: “ View Timetable”
  • Category
  • Hours
  • Exam
  • 3
  • Lectures
  • 42
  • Preparation
  • 161
  • Total
  • 206
Credit
7,5 ECTS
Type of assessment
Written examination, 3 hours under invigilation
closed-book exam at the computers of Copenhagen University.
The exam assignment is given in English and can be answered in English or in Danish. Language must be chosen at the course or exam registration.
Exam registration requirements

None

Aid
Without aids
Marking scale
7-point grading scale
Censorship form
External censorship
if chosen by the Head of Studies.
Exam period

for the autumn semester 2017:

22 December 2017

The written exam takes place in the exam venues of the university 

The exact time and room of the exam will be informed in the Self-Service at KUnet

For enrolled students more information about examination, rules, exam schedule etc. is available at the intranet for master students (UK) and master students (DK).

Re-exam

for the autumn semester 2017:

13 February 2018

The written exam takes place in the exam venues of the university 

The exact time and room of the exam will be informed in the Self-Service at KUnet

If only a few students have registered the exam it might change to oral including the date, time and place, which will be informed in KUNet or by the Examination Office.

More information about reexamination, rules, schedule etc. is available at the intranet for master students (UK) and master students (DK).

 

Criteria for exam assesment

Students are assessed on the extent to which they master the learning outcome for the course.

To receive the top grade, the student must be able to demonstrate in an excellent manner that he or she has acquired and can make use of the knowledge, skills and competencies listed in the learning outcomes.