Course for international guest/part time students
- Faculty
- Faculty of Economics
- Organization
- GTK Department of Comparative Economics
- Code
- GTI23AN302EN
- Title
- International Finance and Economics
- Usual semester
- Autumn
- Published semester
- 2026/27/1
- ECTS
- 6
- Language
- en
- Learning outcomes
- The aim of the course is to acquaint students with the basic international economic and financial issues. Intended Learning Outcomes: On successful completion of this course, students should be able to: understand and analyze the factors behind the exchange rate development; evaluate the effects of macro policy measures on the external balance of the country and the exchange rate; successfully manage international trade and business both at the firm- and the government levels. Links to Sustainable Development Goals: On successful completion of this course, students should be able to connect topics taught to the SDGs: Promote sustained, inclusive and sustainable economic growth, full and productive employment and decent work for all.
- Course content
- The subject introduces students to macroeconomic and economic policy issues of open economies. We cover the background, accounting, and statistics of international financial movements. We discuss the macroeconomic context and significance of the external balance and financing. Within the topics of the subject, factors influencing exchange rates and exchange rate policy have emphasized weight. In addition, the subject covers the main concepts and models of international trade theory focusing on explaining and understanding the direction and volume of trade between different actors. The main instruments of trade policy including tariffs and subsidies will also be discussed. Topics to be discussed: The balance of payments statistics. Its structure and basic contexts. The national income and the balance of payments. Interpretation of the external balance. Historical overview of international financial systems: the gold standard and the Bretton Woods system. Factors affecting exchange rates in the long term. Foreign exchange markets and exchange rates. Fixed vs floating exchange rates. Economic policy options and policy choice between fixed and floating exchange rates. Concepts of international trade: comparative advantages and specialisation. Major models of international trade. Trade policy instruments and their welfare impact assessment.
- Assessment method
- Grades offered during the semester: 60-69% satisfactory, 70-84% good, 85-100% excellent Examination grade: 50-54% pass, 55-69%, satisfactory, 70-84% good, 85-100% excellent The current assessment and evaluation requirements of the ELTE GTK apply, which can be found on the GTK TH website under the student's level of training.
- Bibliography
- 1) P.R. Krugman - M.Obstfeld – M.J. Melitz: International Economics Theory and Policy, Pearson 2018 The given pages of selected chapters: Chapter 2 (The world trade: An overview): pp 38-50; Chapter 3 (Labor productivity and comparative advantage: The Ricardian model): pp. 52-76; Chapter 4 (Specific factors and income distribution): pp. 79-102; Chapter 5 (Resources and trade: The Heckscher-Ohlin model): pp. 115-135; Chapter 6 (The standard trade model): pp. 151-172; Chapter 7 (External economies of scale and the international location of production) pp. 179-194; Chapter 9 (The instruments of trade policy): pp. 243-247; 249-266; Chapter 13 (National Income Accounting and the Balance of Payments): pp. 349-361; Chapter 14 (Exchange Rates and the Foreign Exchange Market: An Asset Approach): pp. 382-406; Appendix 411-413; Chapter 16 (Price Levels and the Exchange Rate in the Long Run): pp. 449-476; except the following box studies: (463-466); Chapter 17 (Output and the Exchange Rate in the Short Run): pp. 488-515; Chapter 18 (Fixed Exchange Rates and Foreign Exchange Intervention): pp. 543-548; 560-563; Chapter 19 (International Monetary Systems: An Historical Overview): pp. 580-614; except the following box studies: (584-587; 593-595; 597-598); 2) Hungary’s balance of payments and international investment position statistics (revised international methodology and national practice), MNB 2014 The given pages of the selected chapter: Chapter 1 (Overview of international methodology): pp. 7-19. except the box studies 3) Lectures’ slides