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International Political Economy (341-0-1)

Instructors

Stephen C Nelson
847 4912589
601 University Place # 238
Office Hours: http://www.polisci.northwestern.edu/people/core-faculty/stephen-nelson.html

Meeting Info

Pancoe Building Abbott Aud: Tues, Thurs 2:00PM - 3:20PM

Overview of class

This course focuses on the forces shaping countries' foreign economic policies. Why do governments choose to protect some industries behind high tariff walls while leaving others exposed to the vagaries of international competition? Why do most countries in the world rely on the U.S. dollar for their primary reserve currency - and will the dollar continue to serve that function? Why have many countries removed barriers to cross-border financial flows - and what are the social and political consequences of global financial market openness? Does international trade and investment make military conflict less or more likely? Do economic sanctions even work? How have the series of economic crises over the past decade - the 2008-09 financial market meltdown in the U.S., the global credit crunch the followed, sovereign debt crises (in the Eurozone countries and elsewhere), and the severe, synchronized economic downturns that followed the eruption of the COVID-19 pandemic - shifted the distribution of global economic and political power? In this course we will develop an analytical toolkit to provide some insight into these and other questions, paying particular attention to evaluating the theoretical arguments with two types of evidence: qualitative and historical and quantitative and cross-national. The course is organized thematically. We start with an introduction to the study of International Political Economy (IPE) and explore why it is distinct from international economics; following the introduction to the course we will discuss the problem of international cooperation when national economic policies have spillover effects. The next three topics (weeks 2-6) are devoted to three of the main issue areas that concern IPE specialists: the politics of the international trade, monetary, and financial systems. We then turn our attention to economic development strategies pursued by low- and middle-income countries and the role of foreign development aid in promoting growth. The last two weeks of the course are devoted to the relationship between transnational economic linkages and conflict and to the rise of new economic powerhouses (namely, China) and the possible consequences of this shift for American influence in global economic affairs.

Registration Requirements

Recommended prerequisite class: POLI_SCI 240 (Introduction to International Relations)

Learning Objectives

By the end of this course students will


  • Deepen their understanding of the historical and political foundations of international markets for trade in goods and services, foreign investment, money, and financial assets.

  • Better understand how global markets for trade, production, and financial assets are (and are not) governed.

  • Gain exposure to the case study teaching method used by faculty and students at Harvard Business School.

  • Work alongside colleagues to master the granular details and big-picture takeaways from a set of complex, challenging cases - each of which are connected to key themes in the field of international political economy.

  • Improve their abilities to use analytical frameworks and empirical evidence when talking and writing about important debates over international economic relations

  • Sharpen their social scientific writing skills

Teaching Method

Lectures and discussion sections

Evaluation Method

Course participation: 10%
Critical response paper on assigned reading (1): 5%
Case-based précis writing exercises (2): 20%
Midterm exam: 30%
Final exam: 35%
Remote research pool participation [ungraded, but mandatory]

Class Materials (Required)

Students will purchase up to 5 case readings ($9/reading) from the Harvard Business School

Class Attributes

Social and Behavioral Science Foundational Discipl
Global Perspectives on Power, Justice, and Equity
Social & Behavioral Sciences Distro Area

Associated Classes

DIS - Locy Hall 303: Thurs 4:00PM - 4:50PM

DIS - Lunt Hall 103: Thurs 4:00PM - 4:50PM

DIS - 555 Clark 230: Fri 10:00AM - 10:50AM

DIS - Annenberg Hall G30: Fri 10:00AM - 10:50AM