Table of Contents

1. The Global Economy.- 2. Trade and Technology: The Ricardian Model.- 3. Gains and Losses from Trade in the Specific-Factors Model.- 4. Trade and Resources: The Heckscher-Ohlin Model.- 5. Movement of Labor and Capital between Countries.- 6. Increasing Returns to Scale and Monopolistic Competition.- 7. Import Tariffs and Quotas Under Perfect Competition.- 8. Import Tariffs and Quotas Under Imperfect Competition.- 9. International Agreements: Trade, Labor, and the Environment.- 10. Introduction to Exchange Rates and the Foreign Exchange Market.- 11. Exchange Rates I: The Monetary Approach in the Long Run.- 12. Exchange Rates II: The Asset Approach in the Short Run.- 13. National and International Accounts: Income, Wealth, and the Balance of Payments.- 14. Output, Exchange Rates, and Macroeconomic Policies in the Short Run.- 15. Fixed Versus Floating: International Monetary Experience.- 16. The Euro.

About the Author

Robert C. Feenstra is Professor of Economics at the University of California, Davis. He received his B.A. in 1977 from the University of British Columbia, Canada, and his Ph.D. in economics from MIT in 1981. Feenstra has been teaching international trade at the undergraduate and graduate levels at UC Davis since 1986, where he holds the C. Bryan Cameron Distinguished Chair in International Economics. Feenstra is a research associate of the National Bureau of Economic Research, where he directs the International Trade and Investment research program. He is the author of Offshoring in the Global Economy and Product Variety and the Gains from Trade (MIT Press, 2010). Feenstra received the Bernhard Harms Prize from the Institute for World Economics, Kiel, Germany, in 2006, and delivered the Ohlin Lectures at the Stockholm School of Economics in 2008. He lives in Davis, California, with his wife Gail, and has two grown children: Heather, who is a genetic counselor; and Evan, who recently graduated from Pitzer College.
Alan M. Taylor is Professor of Economics at the University of California,Davis. He received his B.A. in 1987 from King’s College, Cambridge, U.K and earned his Ph.D. in economics from Harvard University in 1992. Taylor has been teaching international macroeconomics, growth, and economic history at UC Davis since 1999, where he directs the Center for the Evolution of the Global Economy. He is also a research associate of the National Bureau of Economic Research and coauthor (with Maurice Obstfeld) of *Capital Markets: Integration, Crisis and Growth* (Cambridge University Press, 2004). Taylor was awarded a Guggenheim Fellowship in 2004 and was a visiting professor at the American University in Paris and London Business School in 2005–06. He lives in Davis, with his wife Claire, and has two young children, Olivia and Sebastian.