Readings

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Most of the material in this course is based on cases. For some classes, however, we will rely on readings from two excellent books:
  • K = Amazon logo King, Philip G. International Economics and International Economic Policy: A Reader. 3rd ed. McGraw-Hill/Irwin, 1999. ISBN: 0-07-236069-0.
  • E = Amazon logo Eichengreen, Barry. Toward a New International Financial Architecture: A Practical Post-Asia Agenda. Institute for International Economics, 1999. ISBN: 0-88132-270-9.

Moreover, the professor has also prepared a list of optional / additional readings: These focus on the analytical material and often go beyond what we will cover in class. They are based on:

  • B = Amazon logo Blanchard, Olivier. Macroeconomics. 3rd ed. Prentice Hall, 2002. ISBN: 0-13-067100-2.
  • DFS = Amazon logo Dornbusch, Rudiger, Stanley Fisher, and Richard Startz. Macroeconomics. 7th ed. McGraw-Hill/Irwin, 1997. ISBN: 0-07-017985-9.
  • KO = Amazon logo Krugman, Paul R., and Maurice Obstfeld. International Economics: Theory and Policy. 6th ed. Addison-Wesley Longman, 2002. ISBN: 0-201-77037-7.
  • M = Amazon logo Mankiw, N. Gregory. Macroeconomics. 4th ed. Worth Publishers, 1999. ISBN: 1-57259-644-9.

In the table below, letters are followed by chapter numbers. For the lecture topics, "HBS" stands for the Harvard Business School case studies that were discussed in class.

LEC # TOPICS READINGS OPTIONAL READINGS
Basic Tools of Economic Management
1 Overview
2 HBS: The German Hyperinflation of 1923 Moss, David A., and Julio J. Rotemberg. "The German Hyperinflation of 1923." Boston, MA: Harvard Business School, 1999. Case No. 9-798-048. Wells, Wyatt, and David A. Moss. "Note on Money and Monetary Policy." Boston, MA: Harvard Business School, 1997. Case No. 9-797-094.

B 4, 9

KO 18
3 HBS: The Great Depression: Causes and Impact

HBS: A Keynesian Cure for the Depression

Fiscal Multiplier

The Disinflation Spiral
McCraw, Thomas K. "The Great Depression: Causes and Impact." Boston, MA: Harvard Business School, 1993. Case No. 9-391-258.

McCraw, Thomas K., and Daniel Pope. "A Keynesian Cure for the Depression." In Rukstad, Michael G. Harvard Business School Case in Macroeconomic Decision Making in the World Economy. The Dryden Press, 1986. Case No. 9-382-065.
B 3

KO 18
4 HBS: The Reagan Plan

ISLM Notes

Problem Set 1
Lodge, George C. "The Reagan Plan." Boston, MA: Harvard Business School, 2000. Case No. 9-381-173. KO 12

B 5, 19

K 16
Development Strategies
5 HBS: Japan: The Miracle Years Wells Jr., Louis T. "Japan: The Miracle Years." Boston, MA: Harvard Business School, 2002. Case No. 9-702-014. KO 10
6 HBS: Singapore

HBS: Accounting for Productivity Growth
Reinhardt, Forest, and Edward Prewitt. "Singapore." Boston, MA: Harvard Business School, 1995. Case No. 9-793-096.

Reinhardt, Forest. "Accounting for Productivity Growth." Boston, MA: Harvard Business School, 1994. Case No. 9-794-051.
KO 10
7 HBS: Chile: The Latin American Tiger?

HBS: Note on Exchange Rate Determination
Kennedy, Robert E., and Teresita Ramos. "Chile: The Latin American Tiger?" Boston, MA: Harvard Business School, 1999. Case No. 9-798-092.

Meerschwam, David M. "Note on Exchange Rate Determination." Boston, MA: Harvard Business School, 1985. Case No. 9-384-171.
KO 10, 19
Emerging Market Crises
8 HBS: World to Mexico: Get a Grip

HBS: The 1994-95 Mexican Peso Crisis
Pill, Huw, and Courtenay Sprague. "World to Mexico: Get a Grip!" Boston, MA: Harvard Business School, 1997. Case No. 9-796-123.

Froot, Kenneth A., and Matthew McBrady. "The 1994-95 Mexican Peso Crisis." Boston, MA: Harvard Business School, 1999. Case No. 9-296-056.
B 21 (1-3)

KO 17
9 HBS: Menem and the Populist Tradition in Argentina Di Tella, Rafael, and Eliseo Neuman. "Menem and the Populist Tradition in Argentina." Boston, MA: Harvard Business School, 2001. Case No. 9-700-061. B 21 (4)

KO 22
10 BBNN Notes and Review
11 Articles

Eichengreen, B. "Understanding Asia's Crisis"

Eichengreen, B. "How Economists Understand Crisis?"
Amazon logo Eichengreen, Barry J. "Understanding Asia's Crisis." Appen. C in Toward a New International Financial Architecture: A Practical Post-Asia Agenda. Institute for International Economics, 1999. ISBN: 0-88132-270-9.

Amazon logo Eichengreen, Barry J. "How Economists Understand Crisis?" Appen. B in Toward a New International Financial Architecture: A Practical Post-Asia Agenda. Institute for International Economics, 1999. ISBN: 0-88132-270-9.
B 23

KO 22
Financial Crises and Contagion
12 HBS: Malaysia: Capital and Control Abdelal, Rawi, and Laura Alfaro. "Malaysia: Capital and Control." Boston, MA: Harvard Business School, 2003. Case No. 9-702-040.
13 Midterm (In Class, Closed Book)
Transition Economies and Africa
14 HBS: Russia - 1994 Dyck, Alexander. "Russia - 1994." Boston, MA: Harvard Business School, 1996. Case No. 9-795-089.
15 HBS: China: Facing the 21st Century

HBS: Transition to a Market Economy
Kennedy, Robert E., and Katherine Marquis. "China: Facing the 21st Century." Boston, MA: Harvard Business School, 2002. Case No. 9-798-066.

Kennedy, Robert E., and Amy L. Sandler. "Transition to a Market Economy: The Components of Reform." Boston, MA: Harvard Business School, 1999. Case No. 9-797-080.
16 HBS: Uganda and the Washington Consensus Pill, Huw, and Courtenay Sprague. "Uganda and the Washington Consensus." Boston, MA: Harvard Business School, 2002. Case No. 9-798-047.
Trade Issues
17 Strategic Trade Policy

HBS: Collision Course in Commercial Aircraft
Yoffie, David B., and Eric J. Vayle. "Collision Course in Commercial Aircraft: Boeing-Airbus-McDonnell Douglas - 1991." Boston, MA: Harvard Business School, 1993. Case No. 9-391-106. KO 11
18 The debate on Globalization

Does Trade with Low Wage Countries Hurt American Workers?

Integration of Trade and Disintegration of Production in the Global Economy

Comparative Advantages
Golub, S. "Does Trade With Low Wage Countries Hurt American Workers?" K 10

Feenstra, R. "Integration of Trade and Disintegration of Production in the Global Economy." K 11
KO 11

KO 2
Challenges of the Developed Economies
19 HBS: Unemployment in France: Priority Number One Moss, David A. "Unemployment in France: 'Priority Number One.'" Boston, MA: Harvard Business School, 1995. Case No. 9-795-064. B 13
20 HBS: European Monetary Union Vietor, Richard H.K., and Sabina Ciminero. "European Monetary Union." Boston, MA: Harvard Business School, 2003. Case No. 9-799-131. KO 20
21 HBS: Social Security Reform Kennedy, Robert E., and Brian P. Irwin. "Social Security Reform." Boston, MA: Harvard Business School, 1999. Case No. 9-799-011.
22 HBS: Japan: Free, Fair and Global? Vietor, Richard H.K., and Stephen Lynagh. "Japan: Free, Fair and Global?" Boston, MA: Harvard Business School, 1999. Case No. 9-798-083. B 22
23 International Financial Architecture International Financial Architecture. E 2
24 HBS: The United States in 2001 Pill, Huw. "The U.S. in 2001: Macroeconomic Policy and the New Economy." Boston, MA: Harvard Business School, 2002. Case No. 9-701-113. B 25, 26