International Trade Theory


Department of Economics, Chulalongkorn University

Instructor : Kornkarun Kungpanidchakul, Ph.D.

Time and Date : Mon 9-12

Office hours: by appointment

Office: ECON 312

Recommended Textbooks:

-          Bhagwati, Panagariya, and Srinivasan (1998), Lectures on International Trade, the MIT press.

-          Krugman and Obsfeld (2006), International Economics: Theory and Policy

-          Markusen, Melvin, Kaempfer and Maskus (1996), " International Trade: Theory and Evidence", available here :

-          Bagwell and Staiger (1999), The Economics of the World Trade System


Reading Lists:

i) Comparative Advantage, Gains from trade and Ricardo

Reading list:


BPS chapter 2 , KO chapter 3, MKM chapter 6


ii) Extensions of Ricardian Theory

Reading list: Lecture#2

                  BPS chapter 3, KO chapter 3

                  Dornbusch, Fischer, and Samuelson (1977), “Comparative Advantage, Trade, and Payments in a Ricardian Model with a Continuum of Goods”, AER.


iii) The Endowment Model

Lecture #3

Review Lecture : Slutsky Decomposition for the endowment model


iv) The Heckscher- Ohlin Model

Reading list:    Lecture #4

                     Lecture #5

                    BPS chapter 5-6, KO chapter 4, MKM chapter 8


v) The Specific Factor Model (Ricardo-Viner)

Reading list:   Lecture #6

                    BPS chapter 7, MKM chapter 9



Homework #1

Answer keys to Homework#1

Homework #2

Answer keys to Homework#2


Useful External Links:

Markusen, Melvin, Kaempfer and Maskus, " International Trade: Theory and Evidence"