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International economics studies the economic interactions between countries, focusing on trade, finance, and policy. Key areas include:
International Trade Theory: Explains benefits of specialization and comparative advantage, analyzes how resource differences affect trade patterns and highlights economies of scale and network effects in trade.
Trade Policy: Examines the impact of tariffs, quotas, and trade barriers, explores the role of trade agreements in shaping economic integration and discusses the merits and drawbacks of protectionism vs. free trade.
International Finance: Studies exchange rate determination and its effects, analyzes a country’s economic transactions with the world and examines cross-border capital flows, including foreign investment.
Globalization: Explores economic integration through trade and technology, Investigates globalization’s impact on growth and development in emerging economies.
Monetary Systems and Policy: Reviews historical and current international monetary systems, discusses coordination of monetary policies for global stability.
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