DANBY

 

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BIS 324 SYLLABUS

 

BIS 324: International Political Economy

Spring Quarter, 2008 Tuesday and Thursday 8:00-10:05 PM, UW1 040

Colin Danby, Interdisciplinary Arts and Sciences, University of Washington, Bothell

Office: UWI-245

 

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(425) 352-5285

 

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Office Hours Tuesday and Thursday 6:00 to 7:45 PM, and by appointment

 

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danby@u.washington.edu

 

Description and learning objectives
Why does the United States run a trade deficit?   Why has the U.S. dollar fallen against other currencies in recent months?  Are these two facts linked, and should you worry about them?  What does it mean for a business to operate globally?  Do national governments matter any more and if so, how?  This course will provide the tools to answer these questions and the basis for further study of international issues. You will learn key concepts, gain an understanding of different theoretical perspectives, and map out the major institutions that shape the international economy.

We will use short lectures, handouts, exercises, and small-group work on problems to make sure everyone masters fundamental concepts like comparative advantage and the balance of payments.  Exams will include definitions, problems, and short essays.  You will be given advance notice of the content of exams, and opportunity for in-class practice.

Most importantly, you will learn by doing your own research.  Each participant will be assigned a country and will carry out a series of research tasks on that country over the quarter, producing two research memoranda.  In structured exercises in class, you will compare the results or your research with the results of other participants, gaining a comparative and integrative understanding of the larger world.  This will give you experience working with real-world data and applying the ideas learned in the course. You will leave the course not just with theoretical knowledge, but with practice in investigating specific questions related to the international economy, and communicating the results of your work.

 

Requirements

·         Completing question sets and worksheets on time: 10%

·         Participation and in-class worksheets: 10%

·         Three exams: 45%

·         Research Memos: 35%

Question sets and worksheets receive full credit if they represent a reasonable effort to answer all the questions – the answers don’t all have to be right to get full credit.  They can be accessed from the web version of this syllabus.  Participation will be assessed mainly on the basis of your work in several in-class group sessions: those are currently scheduled for April 29, May 6, May 15, and May 27; I may add one or two more.  Exam questions and practice problems will be made available before the exams.  The syllabus contains links to the research memo assignments.


Policies
Late work: late submissions will be penalized 15% (of the total possible grade) up to the first week they are late; 30% thereafter.  No late assignments will be accepted after the last day of class meetings (June 5).   It's your responsibility to organize your life so work gets done on time, reliably.  Please do not tell me about malfunctioning disks, broken printers, bad software, and so forth.  There are no exceptions to the late-work policy -- there simply is no way that I can fairly assess the personal emergencies, job pressures, and other factors that impinge on different people's lives, and adjust their assignments accordingly.  Please do not try to show me doctors' notes, court orders, or anything like that.  There is however one appeal: if you feel that for  any reason, part of your grade does not reflect your learning in the course, write me a short e-mail explaining why, and I will take that into account when assessing the final grade.

Question sets, worksheets, and research memos are to be turned in  are via Collect It.

There is no reason to tell me if you are going to miss class.  However if a serious illness or personal emergency is going to affect course work over a week or more, please tell me so we can plan  how to get you back on track as quickly as possible.   For a few other points see Occasionally-Asked Questions, How I Assess Writing, and Notes on Formats for written work.

Our scheduled classes are times for work.  Focusing on the task at hand is important for your own learning; it also makes you a better participant in small-group discussions and other activities that will help others learn.  It is therefore expected that you will use class time for class work.  Even more importantly, I expect that you will not do anything to distract other students from class work.  This means, for example, avoiding private conversations, and turning off and putting away cell phones.  In the interest of avoiding distraction this will be a laptop-free classroom.   If you have to arrive late, please walk in the back door as quietly as possible.  Please return from break on time (my breaks are five minutes).  It is my responsibility, and prerogative, to determine what is appropriate classroom behavior. 

If you believe that you have a disability and would like academic accommodations, please contact Disability Support Services at 425.352.5307, TDD 425.352.5303, FAX 425.352.5455, or at rlundborg@uwb.edu. In most cases, you will need to provide documentation of your disability as part of the review process.

You are reading a web document.  It can be located by putting "danby" into the faculty directory accessible via the main uwb page, or (usually) by putting "colin danby" into a search engine like google.   Changes in readings or assignments will be made on the web version, as well as being announced in class.  If you miss classes, you need to check for any modifications to assignments.

I encourage you to see the regular class time as only part of the service provided to you in this course. Please feel no hesitation about contacting me outside of class, about using the scheduled office hours, and about setting up meetings at other times. Aside from visiting during the scheduled office hours or chatting after class, the best way to get in touch is e-mail.  I don't use the voice mail system.

You have a UW e-mail address, which I may use to communicate with you.  You should check the mailbox regularly, and if you have another primary e-mail address, set your UW mailbox to forward to that primary address.  It is easier for me to keep track of e-mail from you if you use your UW e-mail account to contact me.  If you must use another e-mail address, please make sure it is set up so that your full name appears in the “sender” field.

This course includes writing, and it is assumed that written work is your own, and that when another person’s ideas or words are used they are fully acknowledged. This is what the UWB catalog says:

"Plagiarism is the use of the creations, ideas or words of someone else without formally acknowledging the author or source through the use of quotation marks, references, and the like. Plagiarizing is stealing someone’s work and presenting it as one’s own work or thought. Student work in which plagiarism occurs will ordinarily not be accepted as satisfactory by the instructor, and may lead to disciplinary action against the student submitting it. Any student who is uncertain whether his or her use of the work of others constitutes plagiarism should consult the course instructor for guidance before formally submitting the course work involved."

You must use quotation marks and references whenever you use someone else's writing, whether you use their words or their ideas.  Mere paraphrase does not exempt you from this requirement.  Plagiarism has been a problem in this course in the past.  Please see these additional notes on plagiarism.  If you are ever in any doubt about how to credit a source, ask me or a reference librarian.  Penalties for plagiarism at UWB include a zero on the assignment and referral to the disciplinary process overseen by the Vice Chancellor for Academic Affairs.
 

Texts

There are no books to buy, but there are quite a few things that you are required to print out and bring with you to class.

  • Most of our readings are E-reserves.  If for any reason the direct links to e-reserve readings on the schedule below do not work, those readings can be accessed via this course's e-reserve page.  The library commits to making e-reserves available in a format that will print out well on the library’s computers.  You’re welcome to print them out elsewhere, but neither I nor the library staff can provide technical support for other computers and printers.  In general, it’s a good idea not to wait until the last possible moment to print readings.  The e-reserve collection for this  class contains more readings than we will actually use; also note that in some cases below I link twice to the same reading.  It is required that you bring with you to class a copy of the e-reserve readings that are assigned for that class.
  • On or before April 24 you will be asked to make a printout of data and graphs for your assigned country.  The printout may be as large as 30 pages.  You are required to bring the printout with you to class for the rest of the quarter.
  • Additional materials will be handed out in class or linked to on the website.  They can be accessed via links in the schedule below.   Don’t worry about printing that material out.

 

Discussion Board

As an experiment, I have set up this Discussion Board for BIS 324 as a forum for announcements, questions, and other conversation relevant to the course.


Quantitative Skills Center
UWB's excellent Quantitative Skills Center is ready to help you with this course.  I will meet with the center's tutors to discuss our course material with them.
 

Schedule of Topics, Readings, and Assignments (subject to adjustment)

Topics 

Assignments (due before the start of class)

Tuesday April 1

Unit 1: Preliminaries

Goals: (1) Essential historical background, key concepts and perspectives, (2) Price determination and consumer and producer surplus in the market model, (3) The production possibility frontier

Course introduction; demand and consumer surplus

 

 

                      

Thursday April 3

Economy and Politics: A first cut

Supply and producer surplus 

Log in to the course Collect It page and respond to the assignment there about country research preferences, and other questions.

 

Read:

·         Skidelsky, The Growth of a World Economy

·         Demand, Supply, and Surpluses 

 

Optional reading:

·         Understanding Graphs 

·         Graphs tutorial

·         Bowles, Edwards, Roosevelt, “Capitalism Shakes the World.”

·         Notes on Skidelsky 

Tuesday April 8

The Classical Liberal (or free-trading) Perspective

Price determination in the market model

Optional reading:

·         Notes on Gilpin 25-31

Thursday April 10

The Nationalist (or mercantilist or realist) Perspective

The Marxist (or historical-structuralist) Perspective

Price determination: further exercises 

Production Possibility Frontier (PPF)

Read:

·         Gilpin, “Three Ideologies of Political Economy” pages 31-64

·         Production Possibility Frontier

Optional reading:

·         Market Model Quiz

·         Notes on Gilpin 31-64

Tuesday April 15

World Economy up to WWII

 
Further PPF applications

Thursday April 17

The U.S. Role in the World since WWII

 

Exam practice

Tuesday April 22

first exam

Preparation for the first exam

Thursday April 24

Unit 2: Trade
Goals: (1) Grasp of Ricardian trade theory and comparative advantage, (2) Understanding of and ability to analyze trade restrictions, (3) Familiarity with relevant international institutions

Comparative advantage, practice; introduction to country projects

Find your country assignment (on the class GoPost site), download your spreadsheet, print it out, and bring it with you.

 

Read:

·         Roskin, What to Look for 

·         Stiglitz,  Trade

·         A One-factor World: The Ricardo Model 

Optional reading:

·         A Two-factor World: The HOS Model  

·         Trade Introduction

·         Notes on Roskin

Tuesday April 29

Tariffs 

Group work on country data 

 

Thursday May 1

Quotas 

Read:

·         Spero, International Trade and Domestic Politics

·         Basic Analysis of a Quota

 

Optional reading:

·         Imposing a Tariff: Possible Sequences of Events

Tuesday May 6

Other trade restrictions

 

Trading blocs 

Group work on country data 

Thursday May 8

GATT, WTO, and trade policy

Exam practice

Read:

·         Trade problems practice

·         Annotated problems

Tuesday May 13

second exam

Preparation for the second exam

Thursday May 15

Unit 3: The Macroeconomy and the Balance of Payments
Goals: Familiarity with (1) Open economy macro framework (2) Exchange rates, (3) Key institutions 

Macro flows in a closed economy

Group work on country data

 

Read:

·         McConnell and Brue, Measuring Domestic Output, National Income, and the Price Level

·         Parts 1.1 and 1.2 of the Macro Flows Tutorial

 

 

Tuesday May 20

Macro flows in an open economy

 

 

Exchange rate intro

Write and turn in on Collect It: Macro/Bop data worksheet 

 

Read:

·         Parts 2.1 and 2.2 of the Macro Flows Tutorial

·         Exchange Rates

·         Exchange Rates, The Balance of Payments, Trade Deficits

 

Thursday May 22

Film: “The Crash”

Readings from the PBS site for The Crash

·         Timeline

·         Transcript

 

Tuesday May 27

Balance of Payments and Exchange Rates

 

 

Write and turn in on Collect It:Third question set.

 

Read: 

·         Balance of Payments: Fundamental Concepts

·         Balance of Payments: Categories and Definitions, keyed to the IMF data on your spreadsheet

 

 

Optional reading:

·         How BoP categories relate to macro categories

 

 

Thursday May 29

Institutions

 

Group work on country data

 

If you have not done so already, download your IMF spreadsheet (on the class GoPost site), print it out, and bring it with you.

 

Read:

·         Spero, Governing the International Monetary System

·         Skidelsky, The Growth of a World Economy

 

Optional:

·         DeLong, Capital and its Complements

Tuesday June 3

Current U.S. Adjustment and the election

Readings

·         U.S. Trade in Goods and Services March 2008

·         Dollar-Euro exchange rate

·         Dollar-Yen exchange rate

·         Dollar – Yuan exchange rate

·         Setser, Adjusting to $125 a barrel oil

 

Optional

·         Podcast: "Dollar Weakness and Financial Crisis: A Bloomberg Panel"

·         Surowiecki, “The Free Trade Paradox”

·         McCain Economic Plan

·         Obama Economic Plan

 

Thursday June 5

Wrapup

Turn in on Collect It: Second Research Memo

June 10

Optional review session (This is exam week, so there are no classes.)

June 12

final exam
(normal class time, same classroom)

Preparation for the final exam