This course provides necessary inputs to understand the sources of economic growth, international trade, and globalization mainly from the policy perspective of developing countries in the Asia Pacific region. It is more of a policy-analysis course than a pure theoretical course. Drawing on the most relevant theories, this course will answer important development questions of “How do some countries grow faster than others? What are the sources of growth? What is the role of international trade in the growth process of a country? Why do governments in developing countries follow the so called restrictive trade policies? Has globalization contributed to reduction in poverty across developing countries? Can Official Development Assistance be used for climate change mitigation and adaptation?” The course will discuss in details some of the important analytical methodologies that are followed in the literature to answer the above questions empirically. Though lecture notes in the form of power point presentations are given, students need to read the papers included in the reading brick along with the readings suggested below. Further readings may be given.

Students’ will be asked to form a group of 3 students to work collectively on a research topic agreed by the lecturer. Each group needs to collectively make a presentation in the class and needs to submit a final version of their research at the end of the course.

After completing the course, you will be able to :

• Understand the effects of tariffs and subsidies on trade patterns and the welfare of trading nations.
• Explain how international negotiations and agreements have promoted world trade.
• Identify and measure the sources of economic growth using conventional and advanced methods with particular reference to the Asian countries.

Group Research:   40%  

Final Examination: 60%.

Contact hours: 6 Hrs/week

Students' preparations: 3 Hrs/week  

Basic knowledge of principles of economics, such as consumers' surplus, producers' surplus, monopoly pricing is helpful.

Pre/Corequisites:

The course does not presuppose an extensive background in economics.  

Basic course in principles of economics

P. Krugman and M. Obstfeld, International Economics: Theory and Policy, 8^th Edition, Pearson International Edition, 2008.

K.P. Kalirajan and S. Bhide, A Disequilibrium Macroeconometric Model for India, Aldershot, U.K.: Ashgate, 2003.

T. Sonobe and K. Otsuka (2011), Cluster based Industrial Development, London: Palgrave Macmillan.

Gaofeng Han, Kaliappa Kalirajan, and Nirvikar Singh, "Productivity and Economic Growth in East Asia: Innovation, Efficiency, and Accumulation", Japan and the World Economy, 14:401-424, 2002.

K.P. Kalirajan and S. Bhide, "The Post-reform Performance of the Manufacturing Sector in India", Asian Economic Papers, 3(2):126-157, 2004.

Chia-Hung Sun and Kaliappa Kalirajan, "Gauging the Sources of Growth of High-tech and Low-tech Industries: The Case of Korean Manufacturing", Australian Economic Papers, June 2005.

Kaliappa Kalirajan, "Regional Cooperation and Bilateral Trade Flows: An Empirical Measurement of Resistance", The International Trade Journal, XXI(2), Summer 2007.

Kaliappa Kalirajan and Kanhaiya Singh, "A Comparative Analysis of China's and India's Recent Export Performances", Asian Economic Papers, 7(1): 1-28, 2008.

Delivery Mode:

On Campus.  

Semester II intensive. Important concepts and their applications in Trade and Development rather than theoretical formalism are taught.  Lecture notes in the form of power point presentations are given. Study brick is available for students.