Economics 346 is a course in international monetary theory and policy. The course will focus upon the problems of balance of payments and adjustment mechanisms. Topics include: the balance of payments and the foreign ex-change market; causes of disturbances and processes of adjustment in the balance of payments and the foreign exchange market under fixed and flexible exchange rate regimes. Issues in maintaining internal and external balance, optimum currency areas, and the history of the international monetary system and recent attempts at reform will also be examined. The course will also discuss capital movements and the international capital market. Prerequisites: Economics 200.

Syllabus in PDF file. Syllabi will also be available outside of my office at the beginning of the semester.

The textbook is Paul R. Krugman & Maurice Obstfeld, “ International Economics: Theory & Policy” (Addison Wesley). Acceptable copies are the 7th edition (2006) hardcover.

They are available at the Bookstore. Additional readings from the WWW will also be assigned as the quarter progresses. Grading will be based upon four problem sets (20%), one midterm (30%) and one comprehensive final (50%).

Important Dates

• Midterm: in class.
• Holidays: There will be no classes in October break (12th until 21st) and Thanksgiving Recess (November 21st-25th). 
• Final Exam: Week of December 13th to 19th --To Be Announced--