What conclusions can be drawn from recent advances in international trade and international macroeconomics?? New datasets, theoretical models, and empirical studies have resulted in?fresh questions about?the world trade and payment system.? These chapters--six on trade and six on international macroeconomics--reveal the richness that researchers have uncovered in recent years.? The chapters on foreign trade present, among other subjects,?new integrated multisector analytical frameworks, the use of gravity equations for the estimation of trade flows, the role of domestic institutions in shaping comparative advantage, and international trade agreements.? On international macroeconomics, chapters explore the relation between exchange rates and other macroeconomic variables; risk sharing, allocation of capital across countries, and current account dynamics; and sovereign debt and financial crises.? By addressing?new issues while enabling deeper and sharper analyses of old issues, this volume makes a significant contribution to our understanding of the global economy.

Reviews

"...a must-have reference book for all those who are engaged in researching India’s economy that is today plagued by widening current account deficit, falling currency, high inflation, not-too-comfortable fiscal deficiencies..." --The IUP Journal of Applied Economics, Vol. XIII, No. 4, 2014

"...this book is an accolade worth having by every front-end researcher, for it offers on a platter the current status of research in international economies." --The IUP Journal of Applied Economics, October 2014

"Since the last volume of the Handbook of International Economics appeared nearly two decades ago, researchers in the field have made massive intellectual progress on topics ranging from firm-level dynamics, to empirical trade models, to financial crises, to global capital-flow imbalances. This fourth volume of the Handbook provides the clear and comprehensive update that students and researchers have so urgently needed." --Maurice Obstfeld, University of California, Berkeley

"The Handbook series is like the Olympic games of economics: drawing together all the star contributions of international economics in single location, with a unifying notation and modeling framework. This volume will be indispensable reading for faculty and advanced students alike and will influence the field for years to come."? --Robert C. Feenstra, University of California, Davis

"Volume 4 is as indispensable and comprehensive as ever, yet fully updated for the perspectives, issues and important empirical realities in international economics today.? Every academic who touches these fields will want to read it."?--Kenneth A. Froot. Harvard Business School

"This volume sustains the tradition of excellence of earlier Handbooks of International Economics. The reader is expertly brought up to date on those areas of international economics which have taken giant leaps forward - globalization, determinants of trade flows, preferential trade arrangements, sovereign debt, financial crises, and more. The volume is a must-have refernce for?economists wanting to catch up with the field." --Anne Krueger, Johns Hopkins University

Feature

• Systematically illuminates and interprets recent developments in research on international trade and international macroeconomics
• Focuses on newly developing questions and opportunities for future research
• Presents multiple?perspectives on ways to understand the global economy?

Chapter 1 - Heterogeneous Firms and Trade Chapter 2 - Multinational Firms and the Structure of International Trade Chapter 3 - Gravity Equations: Workhorse,Toolkit, and Cookbook Chapter 4 - Trade Theory with Numbers: Quantifying the Consequences of Globalization Chapter 5 - Domestic Institutions as a Source of Comparative Advantage Chapter 6 - International Trade Agreements Chapter 7 - International Prices and Exchange Rates Chapter 8 - Exchange Rates and Interest Parity Chapter 9 - Assessing International Efficiency Chapter 10 - External Adjustment, Global Imbalances, Valuation Effects Chapter 11 - Sovereign Debt Chapter 12 - International Financial Crises