International Trade Theory - Politique économique et intégration européennes

PEIE Politique Economique et Intégration Européennes

• The first part of the course explores the history, institutions, and challenges of European economic integration, from its post-war origins to today’s evolving Union. It traces milestones such as the creation of the Single Market and Monetary Union, post-Cold War enlargement, and responses to crises including the Eurozone turmoil, Brexit, and Covid-19. Students will examine the EU’s institutional and legal foundations, the balance between supranational and intergovernmental governance, and the role of EU law. Contemporary issues—climate policy, the EU budget, relations with the UK, enlargement, and global geopolitical pressures—highlighting how the EU continues to balance fragility with resilience, will be examined.
• The second part of the course is devoted to the analysis of three European microeconomic policies aimed at improving the performance of the European economy, particularly in terms of productivity and growth. Drawing in particular on the work of the Draghi report, this part of the course will begin with an examination of the structural problems that are hampering the development of the European economy: insufficient integration of the single market, deterioration in competitive conditions, lack of entrepreneurial dynamism, and lagging research, development and innovation (R&D&I). The aim is to understand how these factors negatively influence the overall productivity and growth potential of the Union. The course will examine three major economic policies that could respond to these challenges: the single market, competition policy and industrial policy. For each of these policies, the course will begin by providing a precise definition of the policy's objectives and instruments, followed by a critical analysis of the contemporary challenges it faces. An assessment of their potential contribution to the objectives of the European Green Deal will also be discussed.
• Thie third part examines the European Monetary Union and its evolution from the Maastricht blueprint to today’s reformed architecture. Topics include the design and strategy of monetary policy, the fiscal framework and its crisis-driven adaptations, and the integration of European financial markets. Students will explore the theory of optimal currency areas, the role of the ECB, and the balance between stability, flexibility, and democratic accountability. Special attention is given to the Eurozone’s experience during major crises—from the global financial crash to the Covid-19 shock, the war in Ukraine and the current geopolitical crisis—highlighting how challenges have reshaped monetary, fiscal, and financial governance in Europe.

This course contributes to the Governance pedagogical pathway of the Sustainable Development initiative that seek to provide an integrated training in sustainability.

PEIE

• Understand and apply the concepts, tools and economic models useful for the analysis of the process of European economic integration and the examination of European economic policies
• Have a good understanding of the main steps in EU economic integration, of the functioning of core EU institutions and of key European economic policies in order to be able to develop an objective and logical analysis of the main challenges facing the EU.
• Analyse the quality of statistical and quantitative data of the economic situation and the degree of market integration within the EU and draw clear and logical conclusions from this analysis.

• The course aims to introduce students to the main theoretical and empirical concepts of international trade and to provide them with an analytical frameworkfor understanding the issues and regimes involved.
• Master the theories that explain the effects of trade on a nation, the potential gains that can be achieved and how they are distributed.
• Analyse the mechanisms of the propagation of the effects of international trade, focusing on various key assumptions (concerning technology, factor endowments, economies of scale, as described by Ricardian theory of comparative advantage; the specific factor model; the Heckscher-Ohlin model, external economies of scale, internal economies of scale: the Krugman model).
• Assess trade policy options and the influence of international organisations on countries' trade policies. Trade policy instruments: basic tariff analysis distinguishing between a small and a large open economy; other trade policy instruments such as import quotas, export subsidies.

Required and Corequired knowledge and skills

PEIE
Basic concepts of micro and macroeconomics.

ITT
Basic microeconomics

PEIE and ITT

• Readings and preparatory work to be done by students on a voluntary basis.
• Ex-cathedra lectures and discussion of work done by the students.

References, bibliography, and recommended reading

PEIE and ITT
Provided by the teacher on the UV.

Course notes

• Université virtuelle

Contacts

chrissopighi.braila@ulb.be 

fabienne.ilzkovitz@ulb.be for the second part of PEIE




 

Campus

Solbosch

Method(s) of evaluation

• written examination

written examination

PEIE and ITT

A written exam will be organised. The written exam will include MCQ, MRQ and open questions. 

Mark calculation method (including weighting of intermediary marks)

This is a written exam including QCM, QRM and open questions aimed at checking that the student has learnt the course material, but above all, has understood the concepts taught and obtained the capacity to use them in practice. The teaching unit is credited if the student has a mark above or equal to 10. However, it is credited only if the required skills in the two parts of the teaching unit (PEIE and ITT) have been acquired, meaning that the student has a partial mark above or equal to 8/20 for each of them. If the teaching unit is credited, the mark is the average of the partial marks obtained for PEIE and ITT. If the teaching unit is not credited because one the marks in PEIE or ITT is below 8/20, the lowest mark is considered as the final grade of the teaching unit.

A student has an automatic carry forward of his/her mark from the first to the second session if he or she has a mark above or equal to 10. However, a student who has a mark carried forward from the first to the second session and who decides to take the exam during the second session loses the mark he/she obtained during the first session. The final mark taken in consideration is the one obtained at the exam of the second session even if it is lower than the mark obtained during the first session.

Language(s) of evaluation

• english
• french