Econ 355; Instructor: Nisha Malhotra Slide 1-1 Instructor: Nisha Malhotra Office: Buchanan Tower 1005, Office Hours: Wednesday 4.00-5.30

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Econ 355; Instructor: Nisha Malhotra Slide 1-1 Instructor: Nisha Malhotra Office: Buchanan Tower 1005, Office Hours: Wednesday Teaching Assistant: TA: Ning Huang Office: Buchanan Tower 1099E Monday and Wednesday; 11:00am - 2:00pm Econ 355: International Trade

Econ 355; Instructor: Nisha Malhotra Slide 1-2 This course is not suited for you: If you are interested in learning more about Globalization Econ 255: Understanding Globalization. If you are interested in International finance ECON 356: International Finance. Econ 355: International Economics

Econ 355; Instructor: Nisha Malhotra Slide 1-3 Required Textbook: 1. International Economics Theory and Policy, Krugman and Obstfeld, Custom edition for the University of British Columbia, Pearson custom publishing 2. The Global Economy: Country Level Analysis and Case Studies (UBC Course Material put together by Nisha Malhotra) Pearson custom publishing (this is available at Discount Textbooks – above McDonalds at UBC village on University Boulevard.) store's contact (604) The above two books come as a package for this course: Package ISBN: The syllabus /Additional Readings: I may announce additional readings during the course -available on my web page under “Courses”. Econ 355: International Economics

Econ 355; Instructor: Nisha Malhotra Slide 1-4 Grading Scheme: There will be 3 assignments, one group assignment, one midterm examination and a final examination. Assignments submitted late will automatically receive a mark of zero, no exceptions. The final examination will be cumulative.  The 3 assignments - 15%  The Midterm Examination - 35%  The Final Examination - 50%

Econ 355; Instructor: Nisha Malhotra Slide Introduction to the class - (Ref: chapter 1) 2. Ricardian Model - (Ref: chapter 2) 3. Speicific Factor Modell (Ref: chapter 3) 4. Hecksher-Ohlin Model (Ref: chapter 4) 5. Basic Trade Instruments (Ref: chapter 8) 6. Political Economy of trade policy and International Institutions (Ref: Chapter 9) 7. Trade Remedy Measures – Trade Remedy Measures and Softwood Lumber Agreement 8. Antidumping & CVD 9. Case Study: Softwood Lumber Dispute -Ministry of Forest ) 10. Lecture Trade Policy in Developing Countries 14 (Ref:chapter 10) 11. Economies of Scale (Ref: chapter 6, including the appendix) 12. Lecture – Viewing a film - “Commanding Heights”: focus on financial crisis and its spread (finish the film 23rd Nov.) Econ 355: International Economics

Econ 355; Instructor: Nisha Malhotra Slide 1-6 Econ 355: International Economics Choices between the following Topics: You would choose one of the topics  International Finance  Strategic Trade Policy  Empirical Trade  Immigration and Trade  FDI and Trade

Econ 355; Instructor: Nisha Malhotra Slide 1-7 Prerequisite for the course  Basic Principles of Microeconomics  Example: Demand – Demand curve Supply – Supply curve –Equilibrium Price and Quantity –Consumer Surplus and Producer Surplus Production –Production Possibility Frontier –Diminishing marginal returns to labor Taxes and Subsidies  Good Micro book to brush up your economics N. Gregory Mankiw: Principles of Economics (any edition, 2nd is what I have)

Econ 355; Instructor: Nisha Malhotra Slide 1-8 Are you right for this course?  You should have a good knowledge of Microeconomics (Basic Principles).  You are apt at working with economic models – (mainly graphs )  You would be required to go through the WTO site and new reports on the web  You would also need to read recent journal articles.

Econ 355; Instructor: Nisha Malhotra Slide 1-9 Personal Test 1. What is Diminishing returns to Factor? 2. What is Increasing returns to scale? 3. In the figure shown here, at the market-clearing equilibrium, total producers surplus is represented by the area 1.A. 2.A + B + C. 3.D + E + F. 4.A + B + C + D + E + F.