Volby zápisu

This course covers, with a focus on both theory and empirics, basic topics in international (interregional) trade and trade policy analysis at undergraduate level. The course does not deal with international business methods (logistics, use of letters of credits etc.), instead it focuses on trade theory and trade policy analysis and attempts to provide some insight into the following questions:

  • Why do countries (regions) trade?
  • What determines which goods will be exported/imported by particular countries?
  • How does trade influence welfare?
  • How do trade policies influence effects of trade on economies, can they improve effects of trade on welfare?

In short, we will analyze the benefits of trading and the causes (and effects) of specialization, and development of theoretical opinions on these issues. Next we will review the policy instruments (tariffs, quotas, subsidies, anti-dumping measures, as well as very popular schemes for preferential treatment, i.e. customs unions, free trade areas) and options available to those who would want to analyze effects of trade policies.

While the course resembles standard courses in International Trade Theory as taught at many other undergraduate economic programs, we are trying to provide a bit deeper insight by including more recent advances in trade theory (models with heterogeneous firms or New Economic Geography) as well as emphasis on methods useable for empirical analysis (introduction into the correct use of gravity models, brief introduction into trade policy modelling).

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