This course deals with the theory of international trade. It explores the main theories that explain what countries trade and why they gain from trade. These theories include the theory of comparative advantage and the factor-proportions theory of trade, as well as more recent theoretical developments under imperfect competition. The course also deals with several other related topics, such as empirical tests and applications of trade theory, the theory of trade policy, preferential trading arrangements, international factor movements, and trade and economic development. The course makes intensive use of analytical tools, in particular using graphs and mathematical expressions. Required textbook: Applied International Trade Analysis by H.P.Bowen, A.Hollander and J-M. Viaene, published by University of Michigan Press(ISBN:0472066706)and Palgrave- Macmillan(ISBN:0333614593),1998.