Nobel Prize winning economist Paul Krugman and renowned researcher Maurice Obstfeld set the standard for International Economics courses with the text that remains the market leader in the U.S. and around the world.

International Economics: Theory and Policy is a proven approach in which each half of the book leads with an intuitive introduction to theory and follows with self-contained chapters to cover key policy applications.

This Global Edition has been edited to include enhancements making it more relevant to students outside the United States including new coverage of banking systems and the 2007-2009 financial crisis, a revised chapter on Firms in the Global Economy, new global case studies.

Part 1: International Trade Theory 2: World Trade: An Overview 3: Labor Productivity and Comparative Advantage: The Ricardian Model 4: Specific Factors and Income Distribution 5: Resources and Trade: The Heckscher-Ohlin Model 6: The Standard Trade Model 7: External Economics of Scale and the International Location of Production? 8: Firms in the Global Economy: Export Decisions, Outsourcing, and Multinational Enterprises Part 2: International Trade Policy 9: The Instruments of Trade Policy 10: The Political Economy of Trade Policy 11: Trade Policy in Developing Countries 12: Controversies in Trade Policy Part 3: Exchange Rates and Open-Economy Macroeconomics 13: National Income Accounting and the Balance of Payments 14: Exchange Rates and the Foreign Exchange Market: An Asset Approach 15: Money, Interest Rates, and Exchange Rates 16: Prices Levels and the Exchange Rate in the Long Run 17: Output and the Exchange Rate in the Short Run 18: Fixed Exchange Rates and Foreign Exchange Intervention Part 4: International Macroeconomic Policy 19: International Monetary Systems: An Historical Overview 20: Optimum Currency Areas and the European Experience 21: Financial Globalization: Opportunity and Crisis 22: Developing Countries: Growth, Crisis and Reform