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Unit outline_

ECOS3006: International Trade

Semester 2, 2021 [Normal day] - Camperdown/Darlington, Sydney

This unit of study provides a systematic analysis of the theory of international trade and trade policy. Initially differences between countries are emphasised as the source of trade and the gains from trade. Models that are examined include the Classical-Ricardian model, the Heckscher-Ohlin model and the Specific-Factors model. Next economics of scale and imperfect competition are introduced as sources of trade and gains from trade. The unit concludes with an examination of empirical studies aimed at testing trade theories. The analysis of trade policy begins with a discussion of the instruments of trade policy, in particular, tariffs and quotas and their effect on welfare. This discussion is then extended to the case of imperfect competition and strategic trade policy.

Unit details and rules

Academic unit Economics
Credit points 6
Prerequisites
? 
ECOS2001 or ECOS2901
Corequisites
? 
None
Prohibitions
? 
None
Assumed knowledge
? 

None

Available to study abroad and exchange students

Yes

Teaching staff

Coordinator Vladimir Tyazhelnikov, vladimir.tyazhelnikov@sydney.edu.au
Type Description Weight Due Length
Final exam (Record+) Type B final exam Final exam
Online Exam
50% Formal exam period 1.5 hours
Outcomes assessed: LO1 LO2 LO3 LO4 LO5 LO6 LO7 LO8 LO9 LO10
Small test Online quiz
n/a
3% Week 03
Due date: 26 Aug 2021 at 14:00

Closing date: 26 Aug 2021
10 questions
Outcomes assessed: LO1 LO2 LO3 LO4 LO5 LO6 LO7
Small test Online quiz
n/a
3% Week 05
Due date: 09 Sep 2021 at 14:00

Closing date: 09 Sep 2021
10 questions
Outcomes assessed: LO1 LO2 LO3 LO4 LO5 LO6 LO7
In-semester test (Record+) Type B in-semester exam Mid-semester test
mid-semester exam
35% Week 08
Due date: 07 Oct 2021 at 14:00
1 hour
Outcomes assessed: LO1 LO2 LO4 LO5 LO6 LO7 LO8 LO9
Small test Online quiz
n/a
3% Week 09
Due date: 14 Oct 2021 at 14:00

Closing date: 14 Oct 2021
10 questions
Outcomes assessed: LO1 LO2 LO3 LO4 LO5 LO6 LO7
Small test Online quiz
n/a
3% Week 11
Due date: 28 Oct 2021 at 14:00

Closing date: 28 Oct 2021
10 questions
Outcomes assessed: LO1 LO2 LO3 LO4 LO5 LO6 LO7
Small test Online quiz
n/a
3% Week 13
Due date: 11 Nov 2021 at 14:00

Closing date: 11 Nov 2021
10 questions
Outcomes assessed: LO1 LO2 LO3 LO4 LO5 LO6 LO7
Type B final exam = Type B final exam ?
Type B in-semester exam = Type B in-semester exam ?

Assessment summary

Detailed information for each assessment can be found in the Canvas site for this unit.

Assessment criteria

The University awards common result grades, set out in the Coursework Policy 2014 (Schedule 1).

As a general guide, a High distinction indicates work of an exceptional standard, a Distinction a very high standard, a credit a good standard, and a pass an acceptable standard.

Result name

Mark range

Description

High distinction

85 - 100

 

Distinction

75 - 84

 

Credit

65 - 74

 

Pass

50 - 64

 

Fail

0 - 49

When you don’t meet the learning outcomes of the unit to a satisfactory standard.

For more information see guide to grades.

Late submission

In accordance with University policy, these penalties apply when written work is submitted after 11:59pm on the due date:

  • Deduction of 5% of the maximum mark for each calendar day after the due date.
  • After ten calendar days late, a mark of zero will be awarded.

Academic integrity

The Current Student website provides information on academic integrity and the resources available to all students. The University expects students and staff to act ethically and honestly and will treat all allegations of academic integrity breaches seriously.

We use similarity detection software to detect potential instances of plagiarism or other forms of academic integrity breach. If such matches indicate evidence of plagiarism or other forms of academic integrity breaches, your teacher is required to report your work for further investigation.

Use of generative artificial intelligence (AI) and automated writing tools

You may only use generative AI and automated writing tools in assessment tasks if you are permitted to by your unit coordinator. If you do use these tools, you must acknowledge this in your work, either in a footnote or an acknowledgement section. The assessment instructions or unit outline will give guidance of the types of tools that are permitted and how the tools should be used.

Your final submitted work must be your own, original work. You must acknowledge any use of generative AI tools that have been used in the assessment, and any material that forms part of your submission must be appropriately referenced. For guidance on how to acknowledge the use of AI, please refer to the AI in Education Canvas site.

The unapproved use of these tools or unacknowledged use will be considered a breach of the Academic Integrity Policy and penalties may apply.

Studiosity is permitted unless otherwise indicated by the unit coordinator. The use of this service must be acknowledged in your submission as detailed on the Learning Hub’s Canvas page.

Outside assessment tasks, generative AI tools may be used to support your learning. The AI in Education Canvas site contains a number of productive ways that students are using AI to improve their learning.

Simple extensions

If you encounter a problem submitting your work on time, you may be able to apply for an extension of five calendar days through a simple extension.  The application process will be different depending on the type of assessment and extensions cannot be granted for some assessment types like exams.

Special consideration

If exceptional circumstances mean you can’t complete an assessment, you need consideration for a longer period of time, or if you have essential commitments which impact your performance in an assessment, you may be eligible for special consideration or special arrangements.

Special consideration applications will not be affected by a simple extension application.

Using AI responsibly

Co-created with students, AI in Education includes lots of helpful examples of how students use generative AI tools to support their learning. It explains how generative AI works, the different tools available and how to use them responsibly and productively.

WK Topic Learning activity Learning outcomes
Week 01 Introduction and the Ricardian Model Lecture (3 hr) LO1 LO2 LO3 LO4 LO5 LO6 LO7
Week 02 The Ricardian Model (cont.) Lecture and tutorial (3 hr) LO1 LO2 LO3 LO4 LO5 LO6 LO7
Week 03 The Specific Factor Model Lecture and tutorial (3 hr) LO1 LO2 LO3 LO4 LO5 LO6 LO7
Week 04 The Heckscher-Ohlin Model Lecture and tutorial (3 hr) LO1 LO2 LO3 LO4 LO5 LO6 LO7
Week 05 International Movement of Labor and Capital Lecture and tutorial (3 hr) LO1 LO2 LO3 LO4 LO5 LO6 LO7
Week 06 Economies of scale, imperfect competition, and trade Lecture and tutorial (3 hr) LO1 LO2 LO3 LO4 LO5 LO6 LO7
Week 08 Offshoring of Goods and Services Lecture and tutorial (3 hr) LO1 LO2 LO3 LO4 LO5 LO6 LO7
Week 09 Tariffs and Quotas under Perfect Competition Lecture and tutorial (3 hr) LO1 LO2 LO3 LO4 LO5 LO6 LO7 LO8 LO9 LO10
Week 10 Tariffs and Quotas under Imperfect Competition Lecture and tutorial (3 hr) LO1 LO2 LO3 LO4 LO5 LO6 LO7 LO8 LO9 LO10
Week 11 Export Subsidies in Resource-Based and High-Technology Countries Lecture and tutorial (3 hr) LO1 LO2 LO3 LO4 LO5 LO6 LO7 LO8 LO9 LO10
Week 12 International Trade Agreements Lecture and tutorial (3 hr) LO1 LO2 LO3 LO4 LO5 LO6 LO7 LO8 LO9 LO10
Week 13 Revision and completion of unfinished topics Lecture and tutorial (3 hr) LO1 LO2 LO3 LO4 LO5 LO6 LO7

Attendance and class requirements

  • Attendance: students are expected to attend 90% of their classes. If you attend less than 50% of classes, regardless of the reasons, you may be referred to the Examiner’s Board which will decide whether you should pass or fail the unit of study if your attendance falls below this threshold.
  • Lecture recording: Most lectures (in recording-equipped venues) will be recorded and may be made available to students on the LMS. However, you should not rely on lecture recording to substitute your classroom learning experience.
  • Preparation: students should commit to spend approximately three hours’ preparation time (reading, studying, homework, essays, etc.) for every hour of scheduled instruction.

Study commitment

Typically, there is a minimum expectation of 1.5-2 hours of student effort per week per credit point for units of study offered over a full semester. For a 6 credit point unit, this equates to roughly 120-150 hours of student effort in total.

Required readings

All readings for this unit can be accessed on the Library link available in the Canvas site for this unit.

  • Required textbook:International Trade (4th edition). Robert C. Feenstra and Alan M. Taylor 
  • Additional useful reference: International Economics: Theory and Policy (10th edition).  Global Edition By Paul R. Krugman, Maurice Obstfeld, and Marc J. Melitz. Publisher: Pearson 2015

 

Learning outcomes are what students know, understand and are able to do on completion of a unit of study. They are aligned with the University's graduate qualities and are assessed as part of the curriculum.

At the completion of this unit, you should be able to:

  • LO1. demonstrate skills in oral and written communication
  • LO2. demonstrate skills in problem solving
  • LO3. develop proficiency in critical thinking
  • LO4. demonstrate basic modelling skills
  • LO5. identify and intuitively explain the key issues in international trade theory and policy such as, for example, the impact of trade on efficiency and welfare
  • LO6. understand the importance of assumptions in the economic modelling of international trade
  • LO7. distinguish between the efficiency implications and distributional consequences of trade and trade policy
  • LO8. understand the role of politics in trade and vice versa
  • LO9. assess the costs and benefits of trade policy from an economic point of view
  • LO10. confidently participate in public policy discussions and be ready to challenge some of the misconceptions regarding trade and globalisation.

Graduate qualities

The graduate qualities are the qualities and skills that all University of Sydney graduates must demonstrate on successful completion of an award course. As a future Sydney graduate, the set of qualities have been designed to equip you for the contemporary world.

GQ1 Depth of disciplinary expertise

Deep disciplinary expertise is the ability to integrate and rigorously apply knowledge, understanding and skills of a recognised discipline defined by scholarly activity, as well as familiarity with evolving practice of the discipline.

GQ2 Critical thinking and problem solving

Critical thinking and problem solving are the questioning of ideas, evidence and assumptions in order to propose and evaluate hypotheses or alternative arguments before formulating a conclusion or a solution to an identified problem.

GQ3 Oral and written communication

Effective communication, in both oral and written form, is the clear exchange of meaning in a manner that is appropriate to audience and context.

GQ4 Information and digital literacy

Information and digital literacy is the ability to locate, interpret, evaluate, manage, adapt, integrate, create and convey information using appropriate resources, tools and strategies.

GQ5 Inventiveness

Generating novel ideas and solutions.

GQ6 Cultural competence

Cultural Competence is the ability to actively, ethically, respectfully, and successfully engage across and between cultures. In the Australian context, this includes and celebrates Aboriginal and Torres Strait Islander cultures, knowledge systems, and a mature understanding of contemporary issues.

GQ7 Interdisciplinary effectiveness

Interdisciplinary effectiveness is the integration and synthesis of multiple viewpoints and practices, working effectively across disciplinary boundaries.

GQ8 Integrated professional, ethical, and personal identity

An integrated professional, ethical and personal identity is understanding the interaction between one’s personal and professional selves in an ethical context.

GQ9 Influence

Engaging others in a process, idea or vision.

Outcome map

Learning outcomes Graduate qualities
GQ1 GQ2 GQ3 GQ4 GQ5 GQ6 GQ7 GQ8 GQ9

This section outlines changes made to this unit following staff and student reviews.

Changes to assessment have been made to reflect move to on-line teaching/assessment as a result of Covid-19.

Disclaimer

The University reserves the right to amend units of study or no longer offer certain units, including where there are low enrolment numbers.

To help you understand common terms that we use at the University, we offer an online glossary.