Countries nowadays are part of the global economy. Before products reach their final destinations, they have traveled the world as businesses increasingly cut up production processes over many countries; also massive flows of finance are crisscrossing the world. These developments challenge the possibilities with which countries and international economic organisations can exercise an independent economic policy. In this course, we will discuss the different roots and the benefits of international trade as well as their costs; further, we will discuss the benefits and costs of a free flow of finance, in particular we will include risks of financial crises. At the end of this course students will have an understanding of the basic principles of trade and finance and of the motivation of business to engage in international activities. Students will be able to present economic arguments on these international economic issues.
Objectives of the course
In this course, the student will attain knowledge and an understanding on the issues in the field of International Economics. The student will be trained to independently analyse these issues.
The following achievement levels apply with regard to the course: 1. You will be able to define and explain the main benefits and costs of international trade. 2. You will be able to define the constituent elements of the major international trade institution, the World Trade Organisation and explain its importance in the organization of global trade. 3. You will be able to identify the various systems of exchange rates and analyse the interaction between these systems of exchange rates and economic policies. 4. You will be able to define and explain the main benefits and costs of international flows of capital 5. You will be able to define the constituent elements of the major international financial institution, the International Monetary Fund – and explain its importance in the organization of global finance and financial crises.
Mode of instruction
Number of (2 hour) lectures: 6
Name(s) of lecturer(s): dr. J.F. de Kort
Required preparation by students: reading the prescribed material
Number of (2 hour) seminars: 5 or 6
Name(s) of lecturer(s): dr. J.F. de Kort
Required preparation by students: preparing the exercises that are indicated in the course syllabus that will be available on Brightspace. .
- Written exam (100%)
Areas to be tested within the exam
The examination syllabus consists of the required reading (literature) for the course, the course information guide and the subjects taught in the lectures, the seminars and all other instructions which are part of the course.
Regulation retake passed exams
In this course it is possible to retake an exam that has been passed (cf. art. 22.214.171.124 and further of the Course and Examination Regulations), on the condition that this course is included in the compulsory components of the degree program. Students who have passed the exam may retake the final written assessment (test) of the course if they meet certain requirements. To retake a passed exam, students need to ask the Student Administration Office (OIC) for permission. For more information, go to 'course and exam enrollment' > 'permission for retaking a passed exam' on the student website.
Required course materials
- Kenneth Reinert, An Introduction to International Economics, second edition, Cambridge University Press, 2021 (isbn: 9781108455169)
Course information guide:
- Contains study information, reading material, a reader’s guide, and the organization of the course. See Brightspace.
- Trade and Finance in the Global Economy, available through Brightspace
Students have to register for the lectures and working groups through uSis. With this registration you have access to the digital learning environment of this course in Brightspace. You may register up to 5 calendar days before the first teaching session begins.
Students have to register for exams and retakes through uSis. With this registration you also have access to the digital learning environment of this course in Brightspace You may register up to 10 calendar days before the exam or retake.
Coordinator: dr. J.F. de Kort
Work address: Kamerlingh Onnes Gebouw, Steenschuur 25, 2311 ES Leiden, kamer B 2.05
Contact information: through the secretariat of the Economics unit.
Telephone number: 071 – 527 7831
Institute: Tax Law and Economics
Room number secretariat: B2.07
Opening hours: Monday to Friday 9.00 – 12.00
Telephone number secretariat: +31 (0)71 527 7756
Students have to register for courses and exams through uSis.
A block of seats will be reserved for exchange students and will be registered through the international office.