International Economics (MWiWi 2.8)

Course Information

This course uses a mix of theoretical, empirical, and policy frameworks to analyze problems in international finance and macroeconomics. We investigate the determination of the current account, capital flows, international borrowing and lending, the relation of goods prices across countries, interest-rate differentials, the determination of exchange rates, and fiscal and monetary policy in open economies. One emphasis will be on business cycles in closed and open economies. Recent issues such as the crisis in the Euro area, the sustainability of government debt, and sovereign default receive attention. We follow a decision-theoretic approach based on microeconomic behavior that allows us to identify the frictions that explain empirically observed phenomena. Throughout, we have in mind the empirical relevance of the various concepts.

Course Prerequisites

Formally none. Students should have taken an intermediate macroeconomics and microeconomics course. Knowledge of univariate calculus and basic statistics will be assumed. All mathematical and statistical tools needed for this course will be reviewed. MWiWi 2.13 Advanced Microeconomics and Public Finance and MWiWi 4.2 Applied Econometrics are recommended.

Time and Venue

Lecture: Mon, 12-14, M.14.25

Lecture: Wed, 10-12, N.11.16

Tutorial: Wed, 12-14, N.11.16

First meeting: Mon, April 8, 2019

Note: In summer term 2019, Prof. Jüßen is on sabbatical. The module International Economics will be offered by research and teaching assistants. The full program (6SWS) will be offered.