Spring 2018 - 60940 - PA 393H - International Economics

Economic Policy in a Global Economy, Using Python

 

In this course, international economic concepts will be demonstrated with applications to real policy issues. The course will teach these concepts by developing practical analytical and empirical computer skills, using real data sets, and empirical data analysis based on Python platform software. Lectures will be based on interactive Python notebooks (aka Jupyter notebooks). Students will follow along class lectures using open source data analytic software installed on a personal laptop computer (Windows, Mac, or Linux).

Course Outline (illustrative)

— 2 weeks: intro to Python, Python ecosystem data analysis and modeling software on a laptop PC

— 5 weeks: demos of substantive concepts in trade and econ policy using Python ecosystem software

— Supply and demand basics: review, with simple empirical policy applications

— Global technological differences: Ricardo & the idea of comparative advantage

— Resource‐based trade and its effects on distribution of income: Hecksher‐Ohlin‐Samuelson

— Economies of scale‐based trade & high tech industrial competition

— Monopolies, global cartels, and international antitrust policy

— 5 weeks: apprenticeship in construction of simple empirical policy analysis models

— Simple empirical analysis of trade policy

— Understanding national income accounts and the balance of payments

— Price indexes and exchange rates

— Estimating costs and benefits of strategic trade and industrial policies

— R&D and high tech; hedonic methods for measuring tech innovation

— 2 weeks: empirical policy presentations

 

Textbook: McLaren, International Trade (2013), + assigned readings

Grading: Problem Sets (30%), 2 presentations (30%), Mid‐term (20%), Final project (20%)