IB3413 International Trade TheoryBahçeşehir UniversityDegree Programs PSYCHOLOGYGeneral Information For StudentsDiploma SupplementErasmus Policy StatementNational QualificationsBologna Commission
PSYCHOLOGY
Bachelor TR-NQF-HE: Level 6 QF-EHEA: First Cycle EQF-LLL: Level 6

Course Introduction and Application Information

Course Code Course Name Semester Theoretical Practical Credit ECTS
IB3413 International Trade Theory Fall 3 0 3 9
This catalog is for information purposes. Course status is determined by the relevant department at the beginning of semester.

Basic information

Language of instruction: English
Type of course: Non-Departmental Elective
Course Level: Bachelor’s Degree (First Cycle)
Mode of Delivery: Face to face
Course Coordinator : Assoc. Prof. HÜMEYRA ADIGÜZEL
Recommended Optional Program Components: None
Course Objectives: This course aims at providing an introduction to the basis of international trade in order to provide students with a theoretical understanding of trade relations among the countries. The course is devoted to the examination of various theoretical approaches (i.e. Ricardian, Heckscher-Ohlin models, new trade theories) that help to explain several questions such as ‘what explains the patterns of trade?, ‘why do nations trade?, What is the basis for trade?, What are the welfare implications of trade liberalization?, Who gains from trade?’.

Learning Outcomes

The students who have succeeded in this course;
The students who have succeeded in this course;
1. Learn different theoretical models explaining trade patterns, gains from trade and income distribution effects of trade.
2. Evaluate global trade flows by applying the theoretical models learned in this course.
3. Evaluate various debates concerning free trade vs protectionism/mercantilism.
4. Understand the dynamic nature of comparative advantage and identify the situations when this concept is not applicable.
5. Learn the factors that motivate a firm that invests abroad and consequences of foreign investments.
6. Learn to access and interpret data on international trade flows.

Course Content

1st Week: General introduction: What is ‘international trade’? Trends in world trade in goods and services.
2nd Week: Classical Trade Model: Absolute Advantages and Opportunity Cost.
3rd Week: Classical Trade Model: The Ricardian Model and Comparative Advantage.
4th Week: Classical Trade Model: The Ricardian Model and Comparative Advantage.
5th Week: Neoclassical Trade Model: The corollaries of ‘Heckscher-Ohlin’ model.
6th Week: Neoclassical Trade Model: Factor endowments and ‘Heckscher-Ohlin’ model.
7th Week: Midterm examination
8th Week: Neoclassical Trade Model: Stolper-Samuelson theorem; Rybczynski theorem; Factor-price equalization theorem.
9th Week: Neoclassical Trade Model: Standard Trade Model.
10th Week: New trade theory: Economies of scale and imperfect competition.
11th Week: New trade theory: Economies of scale and imperfect competition.
12th Week: Implications of Trade New trade theory; strategic trade policy and intra-industry trade.
13th Week: Product cycle theory.
14th Week: Overall evaluation.

Weekly Detailed Course Contents

Week Subject Related Preparation
1) 1st Week: General introduction: What is ‘international trade’? Trends in world trade in goods and services.
2) 2nd Week: Classical Trade Model: Absolute Advantages and Opportunity Cost.
3) 3rd Week: Classical Trade Model: The Ricardian Model and Comparative Advantage.
4) 4th Week: Classical Trade Model: The Ricardian Model and Comparative Advantage.
5) 5th Week: Neoclassical Trade Model: The corollaries of ‘Heckscher-Ohlin’ model.
6) 6th Week: Neoclassical Trade Model: Factor endowments and ‘Heckscher-Ohlin’ model.
7) 7th Week: Review
8) 8th Week: Neoclassical Trade Model: Stolper-Samuelson theorem; Rybczynski theorem; Factor-price equalization theorem.
9) 9th Week: Neoclassical Trade Model: Standard Trade Model.
10) 10th Week: New trade theory: Economies of scale and imperfect competition.
11) 11th Week: New trade theory: Economies of scale and imperfect competition.
12) 12th Week: Implications of Trade New trade theory; strategic trade policy and intra-industry trade.
13) 13th Week: Product cycle theory.
14) 14th Week: Overall evaluation.

Sources

Course Notes / Textbooks: Temel kaynak kitap:
Required Text:
Krugman, P. and M. Obstfeld (2011), International Economics, 9th edition, Pearson, Addison Wesley.
References: Yararlı eserler:
Optional Texts:
Caves, Frankel and Jones (2007), World Trade and Payments: An Introduction, 10th edition, Pearson, Addison Wesley.

Seyidoğlu, Halil (2009), Uluslararası İktisat, 17. Baskı. (In Turkish).

Karluk, Rıdvan (2009), Uluslararası Ekonomi, 9. Baskı, Beta yayınevi. (In Turkish).

Pugel, Thomas (2009), International Economics, 14th ed., McGraw-Hill-Irwin.

Suranovic, S. (2010), International Trade Theory and Policy, Flat World Knowledge, online textbook.

Bhagwati, J. (2002), Free Trade Today, Princeton Univ. Press.

WTO (2007), World Trade Review 2007, Geneva: WTO.

Evaluation System

Semester Requirements Number of Activities Level of Contribution
Quizzes 2 % 30
Midterms 1 % 30
Final 1 % 40
Total % 100
PERCENTAGE OF SEMESTER WORK % 60
PERCENTAGE OF FINAL WORK % 40
Total % 100

ECTS / Workload Table

Activities Number of Activities Workload
Course Hours 14 40
Study Hours Out of Class 16 101
Quizzes 2 2
Midterms 1 2
Final 1 2
Total Workload 147

Contribution of Learning Outcomes to Programme Outcomes

No Effect 1 Lowest 2 Low 3 Average 4 High 5 Highest
           
Program Outcomes Level of Contribution
1) To develop an interest in the human mind and behavior, to be able to evaluate theories using empirical findings, to understand that psychology is an evidence-based science by acquiring critical thinking skills.
2) To gain a biopsychosocial perspective on human behavior. To understand the biological, psychological, and social variables of behavior.
3) To learn the basic concepts in psychology and the theoretical and practical approaches used to study them (e.g. basic observation and interview techniques).
4) To acquire the methods and skills to access and write information using English as the dominant language in the psychological literature, to recognize and apply scientific research and data evaluation techniques (e.g. correlational, experimental, cross-sectional and longitudinal studies, case studies).
5) To be against discrimination and prejudice; to have ethical concerns while working in research and practice areas.
6) To recognize the main subfields of psychology (experimental, developmental, clinical, cognitive, social and industrial/organizational psychology) and their related fields of study and specialization.
7) To acquire the skills necessary for analyzing, interpreting and presenting the findings as well as problem posing, hypothesizing and data collection, which are the basic elements of scientific studies.
8) To gain the basic knowledge and skills necessary for psychological assessment and evaluation.
9) To acquire basic knowledge of other disciplines (medicine, genetics, biology, economics, sociology, political science, communication, philosophy, anthropology, literature, law, art, etc.) that will contribute to psychology and to use this knowledge in the understanding and interpretation of psychological processes.
10) To develop sensitivity towards social problems; to take responsibility in activities that benefit the field of psychology and society.
11) To have problem solving skills and to be able to develop the necessary analytical approaches for this.
12) To be able to criticize any subject in business and academic life and to be able to express their thoughts.