International Economics (Paperback, 13)

1 Introduction 1

Part 1 International Trade Theory

2 The Law of Comparative Advantage 29

3 The Standard Theory of International Trade 53

4 Demand and Supply, Offer Curves, and the Terms of Trade 77

5 Factor Endowments and the Heckscher–Ohlin Theory 99

6 Economies of Scale, Imperfect Competition, and International Trade 138

7 Economic Growth and International Trade 166

Part 2 International Trade Policy

8 Trade Restrictions: Tariffs 195

9 Nontariff Trade Barriers and the New Protectionism 226

10 Economic Integration: Customs Unions and Free Trade Areas 262

11 International Trade and Economic Development 289

12 International Resource Movements and Multinational Corporations 319

Part 3 The Balance of Payments, Foreign Exchange Markets, and Exchange Rates

13 Balance of Payments 347

14 Foreign Exchange Markets and Exchange Rates 366

15 Exchange Rate Determination 401

Part 4 Open-Economy Macroeconomics and the International Monetary System

16 The Price Adjustment Mechanism with Flexible and Fixed Exchange Rates 437

17 The Income Adjustment Mechanism and Synthesis of Automatic Adjustments 464

18 Open-Economy Macroeconomics: Adjustment Policies 491

19 Prices and Output in an Open Economy: Aggregate Demand and Aggregate Supply 528

20 Flexible versus Fixed Exchange Rates, the European Monetary System, and Macroeconomic Policy Coordination 552

21 The International Monetary System: Past, Present, and Future 586

Answers to Selected Problems

Glossary of Key Terms G-1

Name Index I-1

Subject Index I-5