Econ 355: International Trade
Instructor: Nisha Malhotra
• Office: Buchanan Tower 1005,
• Office Hours: Wednesday 4.00-5.30
• Email: nisha@interchange.ubc.ca
Teaching Assistant:
• TA: Ning Huang
• Office: Buchanan Tower 1099E
• Monday and Wednesday; 11:00am - 2:00pm
• Email: ningh@interchange.ubc.ca
Econ 355; Instructor: Nisha Malhotra
Slide 1-1
Econ 355: International Economics
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; Instructor: Nisha Malhotra
Slide 1-2
Econ 355: International Economics
• 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) 221-1822
• The above two books come as a package for this course: Package
ISBN: 0131592408
The syllabus /Additional Readings: I may announce additional
readings during the course -available on my web page under
“Courses”.
Econ 355; Instructor: Nisha Malhotra
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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
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Econ 355: International Economics
1.
2.
3.
4.
5.
6.
Introduction to the class - (Ref: chapter 1)
Ricardian Model - (Ref: chapter 2)
Speicific Factor Modell (Ref: chapter 3)
Hecksher-Ohlin Model (Ref: chapter 4)
Basic Trade Instruments (Ref: chapter 8)
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; Instructor: Nisha Malhotra
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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 1-6
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
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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 1-8
Personal Test
1.
2.
3.
What is Diminishing returns to
Factor?
What is Increasing returns to
scale?
In the figure shown here, at the
market-clearing equilibrium,
total producers surplus is
represented by the area
1.
2.
3.
4.
A.
A + B + C.
D + E + F.
A + B + C + D + E + F.
Econ 355; Instructor: Nisha Malhotra
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