International Economics: Theory And Policy (7th Edition)

International Economics captures the vitality of modern international trade and finance. A classic book by world-renowned authors, the Seventh Edition is comprehensively revised and updated in a new, full-color format.  Each half of the book contains a core of theory chapters followed by chapters applying the theory to major policy questions of the past and present. 

• Core theory chapters, followed by chapters that apply theory to major policy questions.
• Integrated treatment and empirical evidence of the latest models of trade, including the Gravity, Ricardian, specific factors, factor endowments, and imperfect competition models.
• Thorough discussion of the causes and effects of trade policy, focusing on the income-distribution effects of trade.
• Clear presentation of a unified model of open-economy macroeconomics based on an asset-market approach to exchange rate determination with a central role for expectations.

Reader Reviews
Regarding Gerald Senarclens de Grancy's comments: The idea of Krugman as a Bush administration cheerleader is pretty funny. At first I thought this was a joke but then I realised it wasn't. Granted, the book doesn't mention the Tobin Tax, but there's only so much you can pack into a superficial survey text like this. Overall, I think the authors are pretty unbiased and mainstream. (Haven't used the web supplements, so can'ton that). Having seen this book evolve over several editions, I can honestly say that the current one represents a distinct improvement, with the new introductory chapter on the gravity model providing some much needed perspective at the start. However, it's not an ideal book to learn trade theory and open econonmy macro from. My favorite (although slightly more rigorous) is "The International Economy" by Kenen. And if you are only interested in trade theory, "International Trade, Theory and Evidence" by Markusen et. al. is superior.