Faculty of Economics and Social Sciences
Department of International Business

Code Name Level Year Semester
IBS 330 Theory and Policy of International Trade Undergraduate 3 Fall
Status Number of ECTS Credits Class Hours Per Week Total Hours Per Semester Language
Non-area Elective 5 2 + 1 154 English

Instructor Assistant Coordinator
Malcolm Duerod, Senior Teaching Assistant Zafer Konaklı Malcolm Duerod, Senior Teaching Assistant
[email protected] [email protected] no email

The course offers facilities theory and policy of international trade: classical, neoclassical and contemporary theory. The theory of international trade policy: arguments for the optimal protection and optimal export subsidies, the effects of tariff and quantitative restrictions as well as the understanding of international trade as a factor of globalization, together with the rules of international institutions such as GATT and WTO.

The aim of this course is to give students a basic understanding of the content of the theory and policy of international trade. International trade and trade policies are studied from the standpoint of modern theories of international trade, which is the basis, but also the effect of real international trade flows.

  1. Introduction to the theory and policies of international trade
  2. The impact of international trade on national income and dependence of these quantities on national economic factors of production
  3. Microeconomic analysis of pricing in international trade
  4. The relations of exchange and elasticity in international trade
  5. The political economy of trade policy
  6. Optimal subsidy policy
  7. Optimal trade protection policy
  8. Midterm
  9. Theory and policy instruments of trade policy: tariffs, non-tariff protectionist instruments
  10. Analysis of contemporary protectionist measures in trade policy
  11. International trade as a factor of globalization
  12. The rules of interntional trade organizations
  13. Institutionalization of trade: the role of political international institutions.
  14. Institutionalization of trade: the role of financial international institutions.
  15. Methods of payment and cash management in international trade

  1. Syllabus
  2. Chapter 1 Study Questions
  3. Chapter 2 Study Questions
  4. Case Discussion
  5. Chapter 3 Study questions
  6. Chapter 4 Study questions
  7. Case Discussion
  8. Midterm

  1. Chapter 7 Study Questions
  2. Case Discussion
  3. Chapter 8 Study Questions
  4. Chapter 17 Study Questions
  5. Chapter 18 Study Questions
  6. Presentations
  7. Final Exam

  • Interactive Lectures
  • Practical Sessions
  • Presentation
  • Case Studies
  • Use of educational films
Description (%)
Method Quantity Percentage (%)
Midterm Exam(s)120
Term Paper115
Final Exam130
Total: 90
Learning outcomes
  • Understand international trade theories
  • Develop knowledge and analyze how international politics, global economics influence governmental trade policy.
  • Be familiar with fundamental trade problems: conflicts of interest, pricing, tariffs and game theory.
  • Gain knowledge and a repertoire of skills that will make them effective communicators and problem solvers - both vital for careers working with people.
  • Synthesis theoretical frameworks presented and apply them to real world case examples of international trade.
  • Carbaugh, Robert J, International Economics, Cengage Learning 2011: ISBN 9781439038949

ECTS (Allocated based on student) WORKLOAD
Activities Quantity Duration (Hour) Total Work Load
Lecture (14 weeks x Lecture hours per week)15230
Laboratory / Practice (14 weeks x Laboratory/Practice hours per week)15115
Midterm Examination (1 week)122
Final Examination(1 week)122
Preparation for Midterm Examination11515
Preparation for Final Examination11515
Assignment / Homework/ Project31545
Seminar / Presentation13030
Total Workload: 154
ECTS Credit (Total workload/25): 6