Readings

Per-lecture reading lists for Econ 2203. Each list combines the relevant textbook chapters with key journal papers. Papers marked are considered essential reading.


Lecture 1: Introduction to International Trade

Textbook: Salvatore Ch. 1; Appleyard & Field Ch. 1

Author(s) Paper Journal / Source
Frankel & Romer (1999) “Does Trade Cause Growth?” AER 89(3)
Krugman (1995) “Growing World Trade: Causes and Consequences” Brookings Papers 26(1)
Sachs & Warner (1995) “Economic Reform and the Process of Global Integration” Brookings Papers 1995(1)
WTO (2024) World Trade Statistical Review 2024 WTO, Geneva

Lecture 2: Features of International Trade

Textbook: Salvatore Ch. 2; Appleyard & Field Ch. 2

Author(s) Paper Journal / Source
Hummels & Klenow (2005) “The Variety and Quality of a Nation’s Exports” AER 95(3)
Helpman (1987) “Imperfect Competition and International Trade” J. Japanese & Int’l Econ. 1(1)
Lall (2000) “The Technological Structure and Performance of Developing Country Manufactured Exports” Oxford Dev. Studies 28(3)
DGCI&S (2024) Foreign Trade Statistics of India Ministry of Commerce

Lecture 3: Classical Theories — Mercantilism to Smith

Textbook: Salvatore Ch. 2 §2.1–2.3; Appleyard & Field Ch. 3

Author(s) Paper Journal / Source
Smith, A. (1776) Wealth of Nations, Book IV, Ch. 1–2 Cannan Edition
Viner, J. (1937) Studies in the Theory of International Trade, Ch. 1 Harper
Irwin, D. A. (1996) Against the Tide: An Intellectual History of Free Trade, Ch. 2 Princeton UP
Magnusson, L. (1994) Mercantilism: The Shaping of an Economic Language Routledge

Lecture 4: Comparative Advantage — Ricardo & Opportunity Cost

Textbook: Salvatore Ch. 2 §2.4–2.6; Appleyard & Field Ch. 3–4

Author(s) Paper Journal / Source
Ricardo, D. (1817) Principles of Political Economy, Ch. 7 John Murray
MacDougall, G. D. A. (1951) “British and American Exports: A Study Suggested by the Theory of Comparative Costs” Economic Journal 61(244)
MacDougall, G. D. A. (1952) “British and American Exports: Part II” Economic Journal 62(247)
Balassa, B. (1963) “An Empirical Demonstration of Classical Comparative Cost Theory” Rev. Economics & Statistics 45(3)
Dornbusch, Fischer & Samuelson (1977) “Comparative Advantage, Trade, and Payments in a Ricardian Model with a Continuum of Goods” AER 67(5)
Stern, R. M. (1962) “British and American Productivity and Comparative Costs in International Trade” Oxford Economic Papers 14(3)

Lecture 5: Modern Trade Theory — Heckscher–Ohlin & Lewis

Textbook: Salvatore Ch. 5; Appleyard & Field Ch. 7–8

Author(s) Paper Journal / Source
Stolper & Samuelson (1941) “Protection and Real Wages” Review of Economic Studies 9(1)
Leontief, W. (1953) “Domestic Production and Foreign Trade: The American Capital Position Re-Examined” Proc. Am. Philosophical Society 97(4)
Heckscher, E. F. (1919) “The Effect of Foreign Trade on the Distribution of Income” Ekonomisk Tidskrift 21
Samuelson, P. A. (1948) “International Trade and the Equalisation of Factor Prices” Economic Journal 58(230)
Rybczynski, T. M. (1955) “Factor Endowment and Relative Commodity Prices” Economica 22(88)
Bowen, Leamer & Sveikauskas (1987) “Multicountry, Multifactor Tests of the Factor Abundance Theory” AER 77(5)
Davis & Weinstein (2001) “An Account of Global Factor Trade” AER 91(5)

Lecture 6: Terms of Trade, Free Trade & FTAs

Textbook: Salvatore Ch. 6, Ch. 10; Appleyard & Field Ch. 12

Author(s) Paper Journal / Source
Bhagwati, J. N. (1958) “Immiserizing Growth: A Geometrical Note” Review of Economic Studies 25(3)
Singer, H. W. (1950) “The Distribution of Gains between Investing and Borrowing Countries” AER 40(2)
Prebisch, R. (1950) The Economic Development of Latin America and Its Principal Problems ECLA
Viner, J. (1950) The Customs Union Issue, Ch. 4–5 Carnegie Endowment
Baier & Bergstrand (2007) “Do Free Trade Agreements Actually Increase Members’ International Trade?” J. Int’l Economics 71(1)

Lecture 7: Protectionism I — Tariffs & Quotas

Textbook: Salvatore Ch. 8; Appleyard & Field Ch. 14

Author(s) Paper Journal / Source
Corden, W. M. (1966) “The Structure of a Tariff System and the Effective Protective Rate” Journal of Political Economy 74(3)
Bhagwati & Ramaswami (1963) “Domestic Distortions, Tariffs and the Theory of Optimum Subsidy” Journal of Political Economy 71(1)
Feenstra, R. C. (1992) “How Costly Is Protectionism?” Journal of Economic Perspectives 6(3)
Irwin, D. A. (2010) “Does Trade Reform Promote Economic Growth? A Review of Recent Evidence” Cato Journal 30(2)

Lecture 8: Protectionism II — Subsidies, Dumping & Cartels

Textbook: Salvatore Ch. 9; Appleyard & Field Ch. 15

Author(s) Paper Journal / Source
Brander & Spencer (1985) “Export Subsidies and International Market Share Rivalry” J. Int’l Economics 18(1–2)
Krugman, P. R. (1987) “Is Free Trade Passe?” J. Economic Perspectives 1(2)
Dixit, A. (1988) “Anti-Dumping and Countervailing Duties under Oligopoly” European Economic Review 32(1)
Eaton & Grossman (1986) “Optimal Trade and Industrial Policy under Oligopoly” Quarterly Journal of Economics 101(2)

Lecture 9: Balance of Trade & Balance of Payments

Textbook: Salvatore Ch. 13; Appleyard & Field Ch. 17–18

Author(s) Paper Journal / Source
Alexander, S. S. (1952) “Effects of a Devaluation on a Trade Balance” IMF Staff Papers 2(2)
Harberger, A. C. (1950) “Currency Depreciation, Income, and the Balance of Trade” Journal of Political Economy 58(1)
Johnson, H. G. (1958) “Towards a General Theory of the Balance of Payments” in Int’l Trade and Economic Growth
Obstfeld & Rogoff (1995) “The Intertemporal Approach to the Current Account” Handbook of International Economics Vol. 3
RBI (2024) Annual Report and Balance of Payments Data Reserve Bank of India

Lecture 10: India’s External Sector

Textbook: Ministry of Commerce, Annual Report 2023–24; RBI Handbook of Statistics

Author(s) Paper Journal / Source
Panagariya, A. (2004) “India’s Trade Reform” India Policy Forum 1(1)
Rodrik & Subramanian (2005) “From ‘Hindu Growth’ to Productivity Surge: The Mystery of the Indian Growth Transition” IMF Staff Papers 52(2)
Hasan, Mitra & Ramaswamy (2007) “Trade Reforms, Labor Regulations and Labor-Demand Elasticities” Review of Economics & Statistics 89(3)
DGCI&S (2024) Foreign Trade Statistics — FY2024 Ministry of Commerce
RBI (2024) Balance of Payments — FY2024 Reserve Bank of India

Lecture 11: Foreign Exchange — Rates and Determination

Textbook: Salvatore Ch. 14; Appleyard & Field Ch. 19

Author(s) Paper Journal / Source
Dornbusch, R. (1976) “Expectations and Exchange Rate Dynamics” Journal of Political Economy 84(6)
Meese & Rogoff (1983) “Empirical Exchange Rate Models of the Seventies: Do They Fit out of Sample?” J. Int’l Economics 14(1–2)
Cassel, G. (1918) “Abnormal Deviations in International Exchanges” Economic Journal 28(112)
Rogoff, K. (1996) “The Purchasing Power Parity Puzzle” J. Economic Literature 34(2)
Frankel, J. A. (1979) “On the Mark: A Theory of Floating Exchange Rates Based on Real Interest Differentials” AER 69(4)

Lecture 12: Forex Market — Instruments and Policy

Textbook: Salvatore Ch. 14–15; Appleyard & Field Ch. 20

Author(s) Paper Journal / Source
Obstfeld & Rogoff (1995) “Exchange Rate Dynamics Redux” Journal of Political Economy 103(3)
Mussa, M. (1986) “Nominal Exchange Rate Regimes and the Behavior of Real Exchange Rates” Carnegie-Rochester Conference Series 25
Calvo & Reinhart (2002) “Fear of Floating” Quarterly Journal of Economics 117(2)
RBI (2024) Report on Management of Foreign Exchange Reserves Reserve Bank of India

Lecture 13: WTO — Origin, Structure and Functions

Textbook: Salvatore Ch. 9 §9.7; WTO, Understanding the WTO (2023)

Author(s) Paper Journal / Source
Bagwell & Staiger (1999) “An Economic Theory of GATT” AER 89(1)
Rose, A. K. (2004) “Do We Really Know That the WTO Increases Trade?” AER 94(1)
Subramanian & Wei (2007) “The WTO Promotes Trade, Strongly but Unevenly” J. Int’l Economics 72(1)
Broda, Limao & Weinstein (2008) “Optimal Tariffs and Market Power: The Evidence” AER 98(5)
WTO (2024) World Trade Statistical Review 2024 WTO, Geneva

Lecture 14: Agreement on Agriculture

Textbook: WTO, Agreement on Agriculture (1994); OECD, Agricultural Outlook 2024

Author(s) Paper Journal / Source
Anderson & Martin (2005) “Agricultural Trade Reform and the Doha Development Agenda” World Economy 28(9)
Hoekman & Anderson (1999) “Developing Country Agriculture and the New Trade Agenda” Econ. Dev. & Cultural Change 47(1)
Orden, Chemnitz & Brockmeier (2011) “WTO Blue Box Agricultural Subsidy Disciplines” World Trade Review 10(4)
Bouet & Laborde (2010) “The Potential Cost of a Failed Doha Round” World Trade Review 9(2)

Lecture 15: SPS Measures and Codex Alimentarius

Textbook: WTO, Understanding the SPS Agreement (2011)

Author(s) Paper Journal / Source
Henson & Caswell (1999) “Food Safety Regulation: An Overview of Contemporary Issues” Food Policy 24(6)
Otsuki, Wilson & Sewadeh (2001) “Saving Two in a Billion: Quantifying the Trade Effect of European Food Safety Standards on African Exports” Food Policy 26(5)
Wilson & Otsuki (2004) “Standards and Technical Regulations and Firms in Developing Countries” World Bank Policy Research WP 3256
Jaffee & Henson (2004) Standards and Agro-Food Exports from Developing Countries World Bank Policy Research WP 3348
Codex Alimentarius Commission (2023) Procedural Manual, 27th Edition FAO/WHO

Lecture 16: Export Procedures and Documentation

Textbook: DGFT, Foreign Trade Policy 2023–28; APEDA Export Manual

Author(s) Paper Journal / Source
Djankov, Freund & Pham (2010) “Trading on Time” Review of Economics & Statistics 92(1)
Hummels, D. (2007) “Transportation Costs and International Trade in the Second Era of Globalization” J. Economic Perspectives 21(3)
Portugal-Perez & Wilson (2012) “Export Performance and Trade Facilitation Reform” World Development 40(7)
WTO (2017) Trade Facilitation Agreement: A Business Guide for Developing Countries WTO, Geneva

Lecture 17: Agricultural Export Promotion Organizations

Textbook: APEDA Annual Report 2023–24; MPEDA Annual Report 2023–24

Author(s) Paper Journal / Source
Roberts & Tybout (1997) “The Decision to Export in Colombia: An Empirical Model of Entry with Sunk Costs” AER 87(4)
Melitz, M. J. (2003) “The Impact of Trade on Intra-Industry Reallocations and Aggregate Industry Productivity” Econometrica 71(6)
Cadot, Carrere & Strauss-Kahn (2011) “Export Diversification: What’s Behind the Hump?” Review of Economics & Statistics 93(2)
Haidar, J. I. (2012) “Trade and Productivity: Self-Selection or Learning-by-Exporting in India” Economic Modelling 29(5)
APEDA (2024) Agricultural and Processed Food Products Export Development Authority Annual Report 2023–24 Ministry of Commerce

Lecture 18: India’s Agricultural Trade & Foreign Trade Policy

Textbook: Ministry of Commerce, Foreign Trade Policy 2023–28; APEDA Trade Data FY2024

Author(s) Paper Journal / Source
Gulati & Narayanan (2003) “Subsidy Syndrome in Indian Agriculture” Economic & Political Weekly 38(27)
Pursell & Gulati (1995) “Liberalizing Indian Agriculture” in Agriculture and the State (World Bank)
Anderson & Martin (2009) Distortions to Agricultural Incentives in Asia — India chapter World Bank
Sharma, R. (2011) “Food Export Restrictions: Review of the 2007–2010 Experience” FAO Commodity & Trade Policy WP 32
Narayanan & Sharma (2001) “Impact of Trade Liberalization on Indian Agriculture” Agro-Economic Research Centres
DGFT (2023) Foreign Trade Policy 2023–28 Ministry of Commerce, India