News:
- Laboratory. The presentation will take place on
Thursday (21 May). Final files (script, presentations, etc..) are expected to
be uploaded by Wednesday evening at 11pm on the shared folders that will be defined
on Wednesday. The uploaded files cannot be modified before the presentation.
- Last class: May 21st
- We always meet in my office before class. We can
decide on the spot whether to have the class there or in classroom.
·
Consult
this page before each class.
·
The
teaching material is partially password-protected. The password will be
communicated in class.
·
Office
hours (by prior arrangement via email): LINK
· EXAM:
o
Grading.
For the 6-credit exam, grading is based on a written exam (one hour) followed,
at the instructor's discretion, by an oral exam. For the 9-credit exam, the
additional 3 credits are fulfilled in the form of an "Empirical Analysis
Laboratory", to be held in the final part of the course. The assessment of
this part is based on a classroom presentation of the outcome (to be carried
out in team), as well as on a further discussion during the oral examination.
The final grade will be obtained as a weighted average, with the weights given
by the relative amount of credits of the two parts (6/9 and 3/9). The feedback
provided during the course (active participation in class, contribution,
constructive interaction with instructor and colleagues) will be evaluated with
a score ranging from 0 to 5, which will be added to the grade obtained in the
written and oral exams. The final grading formula will therefore be: VE+VF for
the 6-credit exam and [(VE*2/3)+(VL*1/3)+VF] for the 9-credit exam, where VE = written+oral evaluation (min 0, max 30); VL = laboratory
evaluation (min 0, max 30); VF = Feedback Evaluation (min 0, max 5).
o
No
midterm tests or special exam sessions.
o
In the May-July
session, it is not recommended to retake the exam in consecutive sessions, as
the dates are quite close.
o
During
the exam it is not permitted having electronic devices (cell phones ,
smartwatches, calculators, etc.), notes, textbooks, etc. within reach (arm’s
length). Being found in possession of any of the above material will result in
the immediate cancellation, REGARDLESS OF ACTUAL USE, as well as on the
prohibition on retaking the exam in the same session (or, in the case of the
last exam of the session, in the first date of the following session).
o
Students
are advised to prepare for the exam using only the references provided on this
page. Absolutely avoid using material not explicitly approved by the instructor
(e.g., lecture notes or collections of old exams provided by students from
previous years).
o
Retaking
the exam will result in the loss of any previously obtained grade.
· Syllabus
(the syllabus will be
fine-tuned during the course…please, make sure to get the end-of-course
version!)
o
Basics: Income [SLIDES]; International
trade figures and
Balance of Payments [LINK]
o
Trade openness, Globalization, Global
Value Chains (GVCs) [SLIDES]
References:
-
Baldwin & Martin (1999), Two waves of
Globalization, NBER wp, 6904 [LINK]
o
Traditional Trade Theory: The Gains from Trade
References:
- Markusen J.R. et al. (1995). International Trade. Theory and Evidence, McGraw-Hill, Part I [LINK]
o
Traditional Trade Theory: Cause and Consequences of
International Trade (Ricardo-Torrens; Heckscher-Ohlin-Samuelson)
References:
-
Markusen J.R. et al. (1995). International Trade. Theory and Evidence, McGraw-Hill, Part II [LINK]
o
Traditional Trade Theory: Trade Policy
References:
- Markusen J.R. et al. (1995). International Trade. Theory and Evidence, McGraw-Hill, Part III [LINK]
o
International trade with external economies of scale [SLIDES]
References:
- Krugman, Obstfeld & Melitz, International
Economics, Theory and Policy (Ch.7) [LINK]
o International
trade with internal economies of scale (“New Trade Theory”) [SLIDES]
References:
- Krugman, Obstfeld & Melitz, International
Economics, Theory and Policy (Ch.8) [LINK]
o
International trade with internal economies of scale
and heterogeneous firms (“New-New Trade Theory”): the Selection Effect [SLIDES]
- Krugman, Obstfeld & Melitz, International
Economics, Theory and Policy (Ch.8) [LINK]
o
International trade and economic geography (“New
Economic Geography”)[SLIDES]
References:
-
Ottaviano G., A primer on New Economic
Geography, Giornale degli Economisti ed Annali di
Economia, 59(1), 2000; [LINK]
o
Multinational Enterprises (MNE) and Foreign Direct
Investment (FDI): the global scenario [LINK]
o
Multinational Enterprises (MNE) and Foreign Direct
Investment (FDI): theory [SLIDES] [LINK]
o
Exchange Rate and International Financial Markets
-
Blanchard O., Macroeconomics (Ch.17-20) [LINK]
o “Theory-Based”
Empirical Analysis Laboratory on “Gravity Models”: The
laboratory is worth 3 CFUs and consists of the theoretical derivation of trade
equations and their estimation using statistical software, preferably STATA or
R Studio. The focus will be on both the estimation phase and the economic
interpretation of the results in light of relevant economic theory. Students
will work in small groups. The output of the work (a PowerPoint-type
presentation) will be presented in class during the last week of lectures. All
members of the group must play a role in presenting the results: the assessment
will be both individual and group-based and will be communicated during the
oral exam (the level of individual knowledge of both the empirical estimation
strategy and the theoretical derivation-interpretation of the gravity equation
will also be assessed during the exam). Non-attending students may replace the
laboratory with an in-depth study of the article Colantone
I. (2025), De-Globalization and Fragmentation, Oxford Research Encyclopedia of
Economics and Finance, forthcoming [LINK]
and the video
“De-Globalization and the Future of GVCs” [LINK]. As “in-depth study” a full
understanding is intended, combined with the ability to critically discuss the
content in light of the topics covered by the course.
· Food for thought
o Del Gatto M., Davvero la
globalizzazione sarà la vittima illustre del Covid-19? LUISS Open,
Editoriale, Giugno 2020 [LINK]
o Statistics on Italy: ISTAT-ICE
o FDI: World Investment Report
(UNCTAD)
o
IMF - World Economic
Outlook