English   Danish

2012/2013  BA-PIEC  International Economics

English Title
International Economics

Course information

Language English
Exam ECTS 7.5 ECTS
Type Mandatory
Level Bachelor
Duration One Quarter
Course period Autumn
Time Table Please see course schedule at e-Campus
Study board
Study Board for BSc/MSc i International Business and Politics, BSc
Course coordinator
  • Paul Duo Deng - Department of Economics
Main Category of the Course
  • International Political Economy
Last updated on 20-08-2012
Learning objectives
After the course students should be able to:
  • Explain basic concepts in International Economics (e.g. "comparative advantage", “factor intensity”, “interest rate parity”, BoPs, PPP, UIP, etc.)
  • Understand the basic assumptions and their justification behind the main trade models and their main predictions. These models include, but are not limited to, the Ricardian model, the Hechscher-Ohlin model, and the imperfect competition model
  • Perform simple policy simulations of major trade policy tools (e.g. the impact of introducing tariffs), and illustrate them diagrammatically
  • Understand what determines exchange rate in both short and long run
  • Understand the dynamics of macroeconomic policies (both fiscal and monetary) when the exchange rate is in play, and perform simple policy simulations of these dynamics(like what happens when money supply changes)
  • Understand different exchange rate regimes, and describe the evolution of the international monetary systems
International Economics:
Type of test Written Exam
Marking scale 7-step scale
Second examiner Second internal examiner
Exam period Winter Term
Aids Please, see the detailed regulations below
Duration 4 Hours
Individual written 4-hour open book exam, Only non-programmable calculators are allowed.

Make-up and re-exam: The regulations are the same as for the ordinary exam.

Course content
This course offers detailed introduction to international economics, and it includes two parts: international trade and international finance. In the first part, we study the classic trade theories, which explains why international trade took place, what are the benefits of international trade, and in what patterns countries trade with each other. We also study basic trade policy tools and their implications. In the second part, we study the balance of payments, the basics of exchange rates and how they are determined, how fiscal and monetary policies will be different when exchange rates come into play. We also study exchange rate regimes and the history of international monetary systems.
Teaching methods
Lectures, exercises and discussions.
Last updated on 20-08-2012