Instructor: Li Zhou

Office Hours: Online meeting by appointment

Email: [email protected]

Time zone: All due dates & times refer to Edmonton, AB time

Remote Delivery

Lectures will be delivered asynchronously using voice over PowerPoint. All course material, activities, and exams will be posted on eClass.

Course Objectives

International Economics (ECON 323) provides a survey of international trade theories and policy issues. The objective of the course is to help you develop an understanding of why countries trade, how the international trade and payments systems function, and how international factors impact the economy. Analytical tools will be developed to allow you to critically evaluate public policy arguments and viewpoints appearing in the popular press.

Prerequisites and Restrictions

The prerequisites for this course are ECON 281 or consent of the Economics Department. The prerequisite requirements will be enforced. Registration in the course will be cancelled for those lacking the prerequisites. This course is not open to students with credit in or enrolled in ECON 421 or ECON 422.

Recommended Textbook

Steven Husted and Michael Melvin (H&M), International Economics, 9th Edition.

Evaluation

The course grade is based on the following elements:

• 5 Assignments: 50%
• Assignment 1: 10%, due on January 29, 2024 at 11 pm
• Assignment 2: 10%, due on February 12, 2024 at 11 pm
• Assignment 3: 10%, due on March 4, 2024 at 11 pm
• Assignment 4: 10%, due on March 18, 2024 at 11 pm
• Assignment 5: 10%, due on April 1, 2024 at 11 pm
• 1 quiz: 10%, due on April 8, 2024 at 11 pm
• A take-home final exam: 35% (on April 12, 2024)
• Forum writing and comments: 5% (Graded on April 15, 2024)

Assignments: Assignments will be posted on eClass. You will submit your answers to eClass. The penalty for late submissions is 10% for the first day, 15% for the second day, and 25% for each day starting from the third day. The weight of assignments will not be transferred to other class activities. The assignments help you to check your understanding of the material and perform better in the final exam. Your submission will also serve as feedback to yourself and the instructor.

Although you are encouraged to discuss and study together, you are expected to work independently on your assignments. Offering and accepting solutions from others is an act of plagiarism, which is a serious offense and all involved parties will be penalized according to the University's Code of Student Behaviour.

The quiz: The quiz is composed of multiple-choice questions that cover all the material in this course.

Detailed information will be provided when the quiz is open to students on March 25. Do the quiz in the

2-week window or miss the 10% of the course grade. No extension will be granted, and the weight will

not be transferred to other course work.

Take-Home Final Exam: The final exam will cover all the material in this course. Given that the final exam is a take-home exam, there will be no sample exam. The questions will be similar to assignment questions in nature but more challenging. You are not allowed to discuss with anyone else.

The take-home final will be available on eClass at 9 am on April 12, 2024, for 24 hours. All final exams will have to be submitted by 9 am on April 13, 2024. Please be aware that the exam is timed. Once you open the exam, you have 3 hours to finish and submit your answers. For example, if you open the exam at 10 am on April 12, 2024, you will have to submit your answers by 1 pm on April 12, 2024. If you wait until 8 am on April 13, 2024 to open your exam, you have to submit your answer by 9 am on the same day.

A student who misses the final exam because of illness or any other compelling reason (including religious conviction) may apply for a deferred final exam. Students seeking a deferred exam need to apply to their home Faculty. The instructor does not have the authority to approve such applications.

Forum writing and comments: You are required to write a forum post with 100-200 words on a trade topic (A list of sample topics will be posted on eClass). You are also required to comment on three mainposts by your classmates. Please use economic terms in your writing and relate to what you learn from this course. Be thoughtful when you comment and remember to be respectful when disagreements arise.

Overall: The instructor will assign letter grades based on the class distribution of the total points. Both the class mean and where a student stands on the distribution will be considered.

Topics

1. An Introduction to International Trade (H&M: chapter 1)

2. International Trade Theories

• Trade and Technology: The Ricardian Model (H&M: chapter 3)

• Trade and Resources: The Heckscher-Ohlin Model (H&M: chapter 4)

• Increasing Return to Scale and Monopolistic Competition (Slides on course website)

3. Trade Policies and Institutions

• Tariffs (H&M: chapter 6)

• Nontariff Barriers (H&M: chapter 7)

• Free Trade Areas and Customs Unions(H&M: chapter 9)

• International Trade Institutions (H&M: chapter 8)

4. International Finance

• An introduction to basic concepts (H&M: chapter 11)

• The Current Account and the Balance of Payments (H&M: chapter 12)

• The Foreign Exchange Market (H&M: chapter 13)

• Prices, the Exchange Rate and Purchasing Power Parity (H&M: chapter 14)

• Interest Rates, the Exchange Rate and Interest Rate Parity (H&M: chapter 15)

• International Monetary Arrangements (H&M: chapter 19)

Other Notes:

Academic Integrity: The University of Alberta is committed to the highest standards of academic integrity and honesty. Students are expected to be familiar with these standards regarding academic honesty and to uphold the policies of the University in this respect. Students are particularly urged to familiarize themselves with the provisions of the Code of Student Behaviour and avoid any behaviour that could potentially result in suspicions of cheating, plagiarism, misrepresentation of facts and/or participation in an offence. Academic dishonesty is a serious offence and can result in suspension or expulsion from the University.

All students should consult the Academic Integrity website. If you have any questions, ask your instructor.

An instructor or coordinator who is convinced that a student has handed in work that he or she could not possibly reproduce without outside assistance is obliged, out of consideration of fairness to other students, to report the case to the Associate Dean of the Faculty. See the Academic Discipline Process.

Disclaimer: Any typographical errors in this syllabus are subject to change and will be posted on eClass.

Student Resources:

The Academic Success Centre provides professional academic support to help students maximize their academic success and achieve their academic goals. We offer appointments, advising, group workshops, online courses, and specialized programming year-round to students in all university programs, and at all levels of achievement and study.

They also administer the University of Alberta’s Duty to Accommodate procedure for students and works with students, instructors, campus units, Faculties and departments, community and government agencies, and on and off-campus service providers to coordinate students’ disability-related accommodation needs for participation in university programs.

For general information and to register for services visit the Academic Accommodations webpage. The Centre for Writers offers free one-on-one writing support to students, faculty, and staff. Students can request consultation for a writing project at any stage of development. Instructors can request class visits and presentations.

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Health and Wellness Support for Students outlines available mental and physical health resources that are offered on-campus and in the community.

The Office of the Student Ombuds is a confidential service that strives to ensure that university processes related to students operate as fairly as possible. We offer information, advice, and support to students, faculty, and staff as they deal with academic, discipline, interpersonal, and financial issues related to student programs.

Learning and working environment:

The Faculty of Arts is committed to ensuring that all students, faculty and staff are able to work and study in an environment that is safe and free from discrimination and harassment. It does not tolerate behaviour that undermines that environment.

It is the policy of the University of Alberta that sexual violence committed by any member of the University community is prohibited and constitutes misconduct. Resources and more information can be

found at https://www.ualberta.ca/campus-life/sexual-violence.

The University of Alberta acknowledges that we are located on Treaty 6 territory, and respects the histories, languages, and cultures of the First Nations, Métis, Inuit, and all First Peoples of Canada, whose presence continues to enrich our vibrant community.