Option: International Economics I

EMEC029H7 (15 credits)
Full-time and Part-time 2
Spring Term over 10 weeks

Lecturer: Yunus Aksoy

Aims

The course aims to provide a comprehensive treatment of the modern macroeconomic analysis of open economies, introducing analysis of the balance of payments and exchange rate determination, and policy problems in the design of monetary policy and choice of exchange rate regime.

Objectives

Students will be able to demonstrate that they:

• are familiar with key issues in international macroeconomics, the history of international financial arrangements, and exchange rate regimes;
• understand essential elements of the inter-temporal approach to the balance of payments, and its empirical strengths and weaknesses;
• understand current issues concerning the determination of exchange rates and their volatility, international monetary integration, and sovereign debt.

Course Assessment

A two-hour written examination held in June.

Recommended Texts

• Obstfeld, M and K Rogoff, Foundations of International Macroeconomics, MIT Press, 1996.
• van der Ploeg, F, Handbook of International Economics, volume II, North-Holland, 1994.
• Sarno, L and MP Taylor, The Economics of Exchange Rates, Cambridge Univ. Press, 2002.
• Nelson C. Mark, International Macroeconomics and Finance, Oxford: Blackwell, 2001