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Table of Contents
PART ONE: INTERNATIONAL TRADE THEORY 29
2. Comparative Advantage 31
3. The Standard Trade Model 55
4. The Heckscher–Ohlin and Other Trade Theories 80
PART TWO: INTERNATIONAL TRADE POLICY 113
5. Trade Restrictions: Tariffs 115
6. Nontariff Trade Barriers and the Political Economy of Protectionism 137
PART THREE: INTERNATIONAL TRADE AND INVESTMENT RELATIONS 175
7. Economic Integration 177
8. Growth and Development with International Trade 200
9. International Resource Movements and Multinational Corporations 226
PART FOUR: THE BALANCE OF PAYMENTS, FOREIGN EXCHANGE MARKETS, AND EXCHANGE RATES 255
10. Balance of Payments 257
11. The Foreign Exchange Market and Exchange Rates 280
12. Exchange Rate Determination 308
PART FIVE: OPEN-ECONOMY MACROECONOMICS 331
13. Automatic Adjustments with Flexible and Fixed Exchange Rates 333
14. Adjustment Policies 362
PART SIX: THE INTERNATIONAL MONETARY SYSTEM: PAST, PRESENT, AND FUTURE 389
15. Flexible versus Fixed Exchange Rates, European Monetary Systems, and Macroeconomic
Policy Coordination 391
16. The International Monetary System: Past, Present, and Future 418