Introduction
- KOM, Chapter 1
Overall of Vietnam's international trade
Gravity model and international trade pattern
- KOM, Chapter 2
- J.E. Anderson and E. van Wincoop (2003). Gravity with gravitas: A solution to the border puzzle. American Economic Review, 93(1):170-192.
Review
Distribute PS 1
To provide students with the basic theories of international trade to understand national trade policy and explain trade patterns between countries. This course emphasizes an understanding of the institutional environment for international trade, both at the global, regional, and national level and the role of economic integration and GATT/WTO in removing trade barriers. Emphasis is placed on the analysis of trade policies used in developed and developing countries and the movement from trade policy to industrial policy to practice comparative advantages and promote sustainable trade. This course also examines Vietnam’s trade performance and policies to promote them.
The course will be consisted of two parts. Part 1, International Trade Theories, discusses main concepts and approaches in international trade with real life application. The comparative model of David Ricardo, Heckscher-Ohlin, and trade model given economies of scale. Part 2, International Trade Policy, presents comparative analysis from welfare perspective; trade policy in a distorted domestic market; regional, bilateral and multilateral trade agreements; cost and benefit of maintaining exchange rate; and ongoing debates on international trade policy.
