Table of Contents

Chapter 1. Introduction
Part I. International Trade Theory
Chapter 2. World Trade: An Overview
Chapter 3. Labor Productivity and Comparative Advantage: The Ricardian Model
Chapter 4. Resources, Comparative Advantage, and Income Distribution
Chapter 5. The Standard Trade Model
Chapter 6. Economies of Scale, Imperfect Competition, and International Trade
Chapter 7. International Factor Movements
Part II. International Trade Policy
Chapter 8. The Instruments of Trade Policy
Chapter 9. The Political Economy of Trade Policy
Chapter 10. Trade Policy in Developing Countries
Chapter 11. Controversies in Trade Policy
Part III. Exchange Rates and Open-Economy Macroeconomics
Chapter 12. National Income Accounting and the Balance of Payments
Chapter 13. Exchange Rates and the Foreign Exchange Market: An Asset Approach
Chapter 14. Money, Interest Rates, and Exchange Rates
Chapter 15. Price Levels and the Exchange Rate in the Long Run
Chapter 16. Output and the Exchange Rate in the Short Run
Chapter 17. Fixed Exchange Rates and Foreign Exchange Intervention
Part IV. International Macroeconomic Policy
Chapter 18. The International Monetary System, 1870—1973
Chapter 19. Macroeconomic Policy and Coordination Under Floating Exchange Rates
Chapter 20. Optimum Currency Areas and the European Experience
Chapter 21. The Global Capital Market: Performance and Policy Problems
Chapter 22. Developing Countries: Growth, Crisis, and Reform
Mathematical Postscripts

About the Author

Nobel Prize—winning economist Paul R. Krugman is a professor of economics and international affairs at the Woodrow Wilson School at Princeton University and is a regular op-ed columnist for the New York Times. He received his BA from Yale University and his PhD from the Massachusetts Institute of Technology. After working on the White House Council of Economic Advisors from 1982—1983, Krugman earned the prestigious John Bates Clark Medal for his work on the “new trade theory” in 1991. In addition to Princeton, Krugman has taught at Yale, MIT, and Stanford. His Nobel Prize, awarded in 2008, recognizes his work in international trade patterns and economic geography.

Maurice Obstfeld is a professor of economics at the University of California, Berkeley, where he is also the director of CIDER, the Center for International and Development Economics Research. He is on the advisory board of the Journal of Monetary Economics and the editorial boards of International Economic Review and Review of International Economics. He received his BA from the University of Pennsylvania; his MA from King’s College at Cambridge University in Cambridge, UK; and his PhD from the Massachusetts Institute of Technology. In addition to his current position at UC Berkeley, Obstfeld has taught at Harvard University, the University of Pennsylvania, and Columbia University.

Reviews

“Krugman and Obstfeld are, individually, at the very top of the fields of international trade and finance. I’ve used their textbook for years, and I welcome the new material that they include in this latest revision.”
–Alan Deardorff, University of Michigan

“Krugman and Obstfeld present material in a clear and intuitive manner, leaving aside as much of the technical detail as possible. Students find the graphical analysis to be extremely helpful in understanding the material.”
–Robert G. Murphy, Boston College

“This is the leading undergraduate textbook in international economics. It offers a comprehensive and understandable exposition of the major topics in international economics by
two of the top scholars in the field.”
–Gerald Willmann, University of Kiel

“Krugman and Obstfeld is the leading textbook in the field because it approaches all aspects of international economics by utilizing both analytical and quantitative methods.”
–Iordanis Petsas, University of Scranton