Università Roma Tre

This course will provide students with an analytical framework for the study of international trade. It is divided into three main parts. The first considers both the predictions of the classical trade theory (i.e., the Ricardian Model and the Heckscher-Ohlin Model) and the new trade models with imperfect competition, including the most recent developments related to firm-level evidence. The second one discusses the effects and the political economy determinants of trade policy. Preferential trade agreements will also be discussed. The third part is devoted to analyse the topic of migration flows, their characteristics, determinants and evolution.
The course considers both the theories and recent empirical works, as well as a discussion of the relevant methodological issues in measurement and estimation.
Articles on current topics will be proposed during the class with the purpose of stimulating class discussion.

Outline
First part:
International trade: stylized facts
- Facts, changes and history of globalization

Trade Theories
- The Ricardian Model
- The Specific-Factors Model
- Factor endowments and the Heckscher-Ohlin Model
- Movement of labor and Capital
- The New Trade Theories
- Offshoring and Global Value Chain
- Firm Heterogeneity

Trade policy
- Import Tariffs and Quotas
- Non-tariff measures
- Preferential agreements and Multilateral trade integration (the World Trade Organization)

Second part:
Migration
- Stylized facts on migration
- Characteristics and evolution of international migration flows
- Determinants of migration
- Economic impact of migration on countries of origin and destination

Practical laboratory sessions
- Trade, trade policies and migration data sources
- Working with trade and trade policies data: country trade report and gravity empirical applications

Feenstra R. C. and A.M Taylor (2017), International Trade, Forth Edition, Worth Publishers, chapters: 1, 2, 3, 4, 5, 6, 7, 8, 9.
Clemens, M. A. 2011. “Economics and Emigration: Trillion-Dollar Bills on the Sidewalk?”, Journal of Economic Perspectives, Vol. 25, No. 3 (Summer), pp. 83-106

Lecture slides, articles and other teaching material will be downloadable from the Web page of the course.