This course introduces students to key stylised facts about the nature and impact of globalisation during the last decades. Particular emphasis is placed on the experience of developing countries. Developing countries, espcially high growth emerging nations like China, India, Brasil or South Africa have come to play an important part in the global economy. Low income countries also participate more and more in global value chains.
This course focuses on the problems of developing countries in an international and macro economic context. The course shows how workhorse models of international economics can be used to think about the real-life linkages between international trade and economic development. We will discuss topics such as theories of economic development, trade and development, the effects of foreign direct investment (FDI) on development, the significance of technology transfers, and migration. Further, we shall look at the role of different exchange rate systems, currency crises, balance of payment problems and foreign debt.
The aim of the course is to teach students how economic theory can be employed to analyse the benefits from globalisation, and to diagnose its problems.