Preface

About the Author

1 International Economics is Different

PART ONE
The Theory of International Trade

2 The Basic Theory Using Demand and Supply
3 Why Everybody Trades: Comparative Advantage
4 Trade: Factor Availability and Factor Proportions are Key
5 Who Gains and Who Loses from Trade?
6 Scale Economies, Imperfect Competition, and Trade
7 Growth and Trade

PART TWO
Trade Policy

8 Analysis of a Tariff
9 Nontariff Barriers to Imports
10 Arguments for and against Protection
11 Pushing Exports
12 Trade Blocs and Trade Blocks
13 Trade and the Environment
14 Trade Policies for Developing Countries
15 Multinationals and Migration: International Factor Movements

PART THREE
Understanding Foreign Exchange

16 Payments among Nations
17 The Foreign Exchange Market
18 Forward Exchange and International Financial Investment
19 What Determines Exchange Rates?
20 Government Policies toward the Foreign Exchange Market
21 International Lending and Financial Crises

PART FOUR
Macro Policies for Open Economies

22 How Does the Open Macroeconomy Work?
23 Internal and External Balance with Fixed Exchange Rates
24 Floating Exchange Rates and Internal Balance
25 National and Global Choices: Floating Rates and the Alternatives

APPENDIXES

A The Web and the Library: International Numbers and Other Information
B Deriving Production-Possibility Curves
C Offer Curves
D The Nationally Optimal Tariff
E Accounting for International Payments
F Many Parities at Once
G Aggregate Demand and Aggregate Supply in the Open Economy
H Devaluation and the Current Account Balance

SUGGESTED ANSWERS—QUESTIONS AND PROBLEMS

REFERENCES

INDEX