Phd Trade (Boston College, Fall 2024)
Syllabus
List of Class Sections and Readings (tentative)
I. Basics of Gravity
1. Gravity Equation of Trade (Anderson and van Wincoop, 2003)
2. Numerical Simulation of Gravity
3. Exact Hat Algebra and the Gains from Trade
II. Ricardian Models
4. Ricardian Theory – Two countries (Dornbusch-Fischer-Samuelson, 1977)
5. Bringing Probability Theory (Preliminaries to Eaton and Kortum)
6. Ricardian Theory with data – Many countries (Eaton and Kortum, 2002)
III. Monopolistic Competition and Firm Heterogeneity
7. Monopolistic Competition and Increasing Returns (Krugman, 1979 and 1980)
8. Firm Heterogeneity (Melitz, 2003)
9. Melitz-Pareto (with Nested CES)
IV. Common Grounds: Theory and Empirics
10. Sufficient Statistics: Estimation and Welfare Analysis
V. Selected Extensions
11. Comparative Advantage of Workers
V. Trade, Natural Resources and the Environment
13. Impact of Climate Change in Agricultural Markets: Role of Comparative Advantage
[to be added]