PA 856: Trade, Competition, and Governance in a Global Economy

This site provides resources for students in PA 856 at the University of Wisconsin, Madison for Fall 2008 Semester

Figure 1: 'Spaghetti bowl' RTAs in the Western Hemisphere. Original source: Richard Baldwin, "Multilateralising regionalism: The WTO’s next challenge," VoxEU, February 29, 2008.

Syllabus | Important Dates | Downloadable Course Materials and Information Sources | Robert M. LaFollette School of Public Affairs | Department of Economics

LECTURE: MW 1l:00-12:15, 54 Bascom

Professor Menzie Chinn
Office Hours:
M 2-4 in 1225 Observatory Drive Associate Director’s Office, Tel: 263-1802 Alternate office: Social Sciences Bldg, Rm. 7418, Tel: 262-7397
Home Page

Course Syllabus

PA856 Syllabus in PDF file.

This course provides an introduction to international trade policy. Its purpose is to provide students with an understanding of international trade theory, rules, politics and institutions and the major policy issues facing the global trading system. The first part of the course presents a treatment of the theory of international trade. It explores the rationale for free trade, the distributional impact of trade, the impact of tariffs and quotas and the challenges presented by deeper international economic integration. The second part of the course deals with the World Trade Organization. It explores negotiation mechanisms and principles and the rules relating to market access, dispute settlement, fair trade, safeguards and trade-related intellectual property. (TRIPs). The third part considers major issues facing the trading system. These include regional trading arrangements, foreign investment, China’s entry into the WTO and the Doha Development Agenda.

The required textbooks, available at the UW Bookstore, are:

Additional assigned readings will be available on the Web (via links on this website). Required Additional Readings

Important Dates

Course Materials and Sources of Economic Information

Downloadable Course Materials

  • Trade Issues (lecture of 9/3).
  • Problem Set 1 (due in lecture 9/24).
  • Notes on Heckscher-Ohlin Theory (due in lecture 9/24).
  • Practice Problems on the Ricardian Model
  • More on Trade and Inequality
  • Problem Set 1 Answers (corrected 9/26).
  • Fall 2007 Midterm 1
  • Midterm 1 Answers
  • Midterm 1 Statistics/Curve
  • Key Graphs for Intra-industry Trade/Monopolistic Competition [powerpoint slides]
  • Problem Set 2 (due in lecture 10/27).
  • Key Graphs for Trade Policy [powerpoint slides]
  • Key Graphs for Trade Policy under Imperfect Competition/Dumping [powerpoint slides]
  • Problem Set 2 Answers (due in lecture 10/27).
  • Problem Set 3 (due in lecture 11/5 for extra credit, on 11/10 for regular credit).
  • Fall 2006 Midterm 2 (for practice)
  • Key Graphs for Strategic Trade Policy and Immigration [powerpoint slides]
  • Problem Set 3 Answers (due in lecture 11/5).
  • Midterm 2 Answers
  • Midterm 2 Statistics/Curve
  • Term Paper Assignment
  • Key Graphs for FDI, TRIPS, GATS, TRIMs [powerpoint slides]
  • Problem Set 4 (due in lecture 12/8).
  • Key Graphs for Agricultural Subsidies
  • Notes on Trade and the Environment
  • Problem Set 4 Answers (due in lecture 12/8).

    Additional Required Readings

    Additional Readings


    News Sources



    Economics and Economic Policy Links

    U.S. Government Agencies

    International Organizations

    Current and Historical Data

    PA856 Trade, Competition and Governance in the Global Economy/ UW Madison / / 9 December 2008