Economic Globalization

Academic Year: 2016/2017 Semester: 4th Term

Instructor(s): Isabel Horta Correia

Course Description:

Facts of globalization. Globalization and Macro in Open Economies. Competitiveness and Productivity. The distribution of the gains of globalization. Policies for/against globalization.

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Course Content:

1- Macroeconomics in a global economy.

2- Global imbalances.

3- What is globalization?

2- Facts on globalization.

3- Competitiveness and productivity.

4- Gains from globalization.

5- The distribution across countries and across agents of globalization gains/losses and the political economy of globalization. ______

Course Objectives:

Understanding of the globalization controversy with the economist lens. The myths and its robustness to economic theory. ______

Grading:  Intermediate continuous evaluation: 50% Final test: 50%

Extra Costs (case studies, platforms...):

Not applicable

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Suggested Bibliography:

• Ruo Chen, Gian Maria Milesi-Ferretti and Thierry Tressel, 2013, “External imbalances in the eurozone”, Economic Policy, pp. 101–142 • Gian-Maria Milesi-Ferretti and Cédric Tille, 2011 ,“The great retrenchment: international capital flows during the global financial crisis”, Economic Policy, pp. 289–346 • Sascha O. Becker and Marc-Andreas Muendler, 2015, “Trade and tasks: an exploration over three decades in Germany”, Economic Policy, pp. 589–641 • Robert C. M. Beyer and Frank Smets, 2015 ,“Labour market adjustments and migration in Europe and the • United States: how different?” Economic Policy, pp. 643–682 • Leonce Ndikumana, “International Tax Cooperation and Implications of Globalization”, ST/ESA/2014/CDP/24 • Francesco Caselli, Miklós Koren, Milan Lisicky and Silvana Tenreyro “ Diversification through Trade”, CEPR Discussion paper 10775 • Ricardo Caballero, Emmanuel Farhi, Pierre-Olivier Gourinchas, 2015,“On the global ZLB economy”, CEPR Vox • “Making Sense of Globalization:A Guide to the Economic Issues”, CEPR Policy Paper No. 8 • Wolf, Martin, 2006, “Why Globalization Works”, Yale University Press. • A special report on globalisation , The Economist September 20th 2008 • Rodrik, Dani, 1997 ,“Has Globalization Gone Too Far?” Harvard University • Stiglitz, Joseph E, “Globalization and its Discontents” • Aghion, Philippe & Antras, Pol & Helpman, Elhanan, 2007," Negotiating free trade," Journal of International Economics, Elsevier, vol. 73(1), pages 1-30, September. • Anders Akerman & Elhanan Helpman & Oleg Itskhoki & Marc-Andreas Muendler & Stephen Redding, 2013, " Sources of Wage Inequality," American Economic Review, American Economic Association, vol. 103(3), pages 214-19, May. • Antras, Pol & Elhanan Helpman, 2004, " Global Sourcing," Journal of Political Economy, University of Chicago Press, vol. 112(3), pages 552-580, June. • Juhasz, Antonia, “The Failure of Globalisation”, 2002, Cambridge Review of International Affairs,Vol15, 3. • Jiandong Ju, Kang Shi and Shang-Jin Wei, “Trade Reforms and Current Account Imbalances: when does the general equilibrium effect overturn a partial equilibrium intuition?” CEPR Discussion Paper No. 9293

• Grossman, Gene M & Helpman, Elhanan, 1995, " The Politics of Free-Trade Agreements," American Economic Review, American Economic Association, vol. 85(4), pages 667-90, September. • Grossman, Gene M & Helpman, Elhanan, 1995, " Trade Wars and Trade Talks," Journal of Political Economy, University of Chicago Press, vol. 103(4), pages 675-708, August. • Grossman, Gene M & Helpman, Elhanan, 1990, " Comparative Advantage and Long- run Growth," American Economic Review, American Economic Association, vol. 80(4), pages 796-815, September. • Elhanan Helpman & Oleg Itskhoki & Stephen Redding, 2010, " Unequal Effects of Trade on Workers with Different Abilities," Journal of the European Economic Association, MIT Press, vol. 8(2-3), pages 421-433, 04-05. • Elhanan Helpman & Marc Melitz & Yona Rubinstein, 2008, " Estimating Trade Flows: Trading Partners and Trading Volumes," The Quarterly Journal of Economics, MIT Press, vol. 123(2), pages 441-487, 05. • Elhanan Helpman, 1999, " The Structure of Foreign Trade," Journal of Economic Perspectives, American Economic Association, vol. 13(2), pages 121-144, Spring. • Helpman,Elhanan & Sadka,Efraim (ed.), 2011, " Economic Policy in the International Economy," Cambridge Books, Cambridge University Press, • Helpman, Elhanan, 2011, " Understanding Global Trade," Economics Books, Harvard University Press,. “Globalization” Entry for Palgrave Dictionary of Economics, William Easterly October 2006 • Lucas, Robert,"The Industrial Revolution: Past and Future," the Minneapolis Fed's 2003 • Lucas, Robert ,“The Industrial Revolution: Past and Future," The Region, 2004, 18(1), pp.4. • Lucas, Robert ," Macroeconomic Priorities," American Economic Review, 2003, 93(1), pp. 1-14. • " Some Macroeconomics for the 21st Century," The Journal of Economic Perspectives, 2000, 14(1), pp. 159-68. • Lucas, Robert ,“Methods and Problems of Business cycles”, Journal of Money, Credit and Banking, Vol. 12, No. 4, Part 2: Rational Expectations, 1980, pp. 696-715: Ohio State University. • Lucas, Robert, 1987,“Models of Business Cycles”, Yrjö Jahnsson Lectures; Oxford, UK: Cambridge Mass. • Lucas, Robert,2001 ," A Million Mutinies: The Key to Economic Development." Robert E. Lucas, Jr.; The Region, 15(4), pp. 10. • Lucas, Robert, 2011 ,“The U.S. Recession of 2007-2011”, Milliman Lecture. • Lucas, Robert, 1979 ,"After Keynesian Macroeconometrics" (with T.J. Sargent), in After the Phillips Curve, Federal Reserve Bank of Boston, Conference Series No. 19: 49-72; reprinted in the Federal Reserve Bank of Minneapolis Quarterly Review 3 : 1- 6

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Biography:

Isabel H Correia is head of research at the Economic Research Department of the Banco de Portugal and Full Professor at the Catolica Lisbon, School of Business and Economics. She has research work published in The American Economic Review, Journal of Political Economy, Review of Economics Studies, Journal of Monetary Economics, Journal of Public Economics and European Economic Review. The main field of interest is Macroeconomics.

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Contact(s) and Office hours: [email protected] Office hours to be adjusted individually.

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