UNITED STATES FOREIGN ECONOMIC POLICY

SIS-385-001

COURSE DESCRIPTION:

United States Foreign Economic Policy introduces students to the major events and issues that have shaped the economic aspects of United States foreign policy. It begins with a brief survey of the history of American foreign economic policy from the colonial era to the Great Depression of the 1930s. The course then delineates the history and current structure of postwar international monetary and trade relations. Next, United States Foreign Economic Policy examines the components that comprise contemporary American foreign economic policy. These include the relationship between Congress and the executive branch as well as the most salient institutions and trade legislation. Thereafter, the class investigates the regional dimension of U.S. foreign economic policy through studying the North American Free Trade Agreement, Japan and the European Union. United States Foreign Economic Policy continues by delving into a selection of salient issues, namely, development, globalization and the environment.

Participation is an important element of this class. Five hours are set aside for structured participatory exercises, and a regional economic summit is simulated in another session.

COURSE PREREQUISITES:

United States Foreign Economic Policy can serve as: (1) a self-contained introduction for students with an interest in the politics of international economic affairs or international development, or (2) a foundation course for more advanced classes on the topic. This class stresses institutional arrangements and political debates. It does not cover the same material as the traditional international economics course that one would find in a department of economics (i.e., open-economy macroeconomics). A traditional international economics course would be a fine complement to this one, however.

Two follow-up courses (SIS-465 and SIS-466) are designed to provide in-depth treatments of the politics and policy of contemporary international commercial (i.e, trade and investment) and financial issues, respectively. N.B. Students with solid knowledge of the institutions, law and politics of international economic policy (i.e., those are familiar with GATT/WTO, NAFTA, the contemporary international monetary [non]order, U.S. trade law, etc.) can skip this class and move on directly to these higher level courses.

COURSE REQUIREMENTS:

Course requirements consist of: (1) a quiz on balance-of-payments accounts, which is worth 5 percent of the total grade; (2) a midterm, which amounts to 15 percent of the total grade; (3) a final, which accounts for 30 percent of the total grade; (4) a 3,750-word research paper, which represents 30 percent of the total grade; and (5) class participation, which makes up 20 percent of the total grade. Students must complete all of these requirements in order to receive a passing grade.

EXAMINATIONS:

The quiz is a brief take-home problem-set on balance-of-payments accounts. The midterm and the final consist of essays. Students have choice from pair(s) of questions.

Be sure to plan your schedule so that you will be able to be present at both exams at the scheduled times! In particular, do NOT make plans to leave before the final exam-date. If you do, you risk failing the exam and the course.

THE RESEARCH PAPER:

Paper Topic:

The research paper must address some aspect of United States Foreign Economic Policy. In other words, the United States must be a part of the paper's topic. When choosing a topic, you may find it helpful to begin by reviewing the themes listed in the syllabus in order to identify a general area of interest, and then trying to narrow the focus of the paper from there.

It is essential that students write an analytical rather than a descriptive paper. Analytical papers prove assertions; they do NOT merely report facts. The authors of analytical papers DO employ history and facts, but they use them only as evidence to prove the larger argument. This approach allows you to be selective in telling the story and thereby to keep the paper shorter, because you should only bring in the evidence you need to prove your argument rather than tell "the story" from start to finish.

In order to write an analytical paper, you must pose a question at the start that will serve as your thematic guide throughout the text. A rough rule of thumb is: questions that begin with "why," "how," or "is" are analytical. Questions that use "what" are not. A second test is: if you use the word "because" to answer your research question, your question is analytical. If you would like some help in formulating an analytical question, please do not hesitate to see me.

Mastering the formulation of an analytical question and carrying out the research to answer it are important skills that you will use beyond this course. Most professors, regardless of the subject they teach, are looking for analytical papers in their courses, even if they do not tell you this explicitly. Employers are also interested in individuals who have analytical skills rather than merely the capacity to memorize. Learning to think and write analytically takes time. It is therefore best to begin learning this skill as soon as possible.

Paper Outline:

You MUST obtain PRIOR approval of your paper topic so that I can ensure that it is: (1) analytical, (2) feasible, (3) relevant to the course, and (4) entails original research. Students obtain approval by drawing up an outline of the paper and handing it on the date listed in the "Course Readings and Outline" section of this syllabus.

The outline consists of two parts: (1) an opening sentence (no more), which is set apart at the top of the page, that states your analytical question (in an interrogative form with a question-mark at the end); and (2) an outline of the structure of the paper. Any outline that is missing either one of these two parts, fails to pose an analytical question properly, or does not look feasible will be returned for revision and resubmission. The outlines are either approved or returned for revision; they are not graded. If you have any questions about your outline, please see me.

Students can (and should!) modify their outlines while researching and writing without my permission as they learn more about the topic. Students wishing to CHANGE their analytical question after the approval of the outline, however, MUST have my approval.

Sources:

Your final paper must have at least five academic sources in the bibliography. Each source should also be cited at least once in the paper. The reason why I have this requirement is so that you do not write a paper based solely on newspaper and magazine accounts. Academic sources are either books or journal articles that have footnotes themselves and, in the case of articles, come from academic periodicals that appear four to six times a year (and not daily or weekly), such as Foreign Affairs, Foreign Policy, International Organization or World Politics.

Newspaper and magazine articles from sources such as the New York Times or the Economist are excellent to use, but they do NOT count as academic works. You should definitely use and list them in your footnotes, but you should NOT put them in your bibliography.

If you use an internet source in your paper, be sure to cite the full address (e.g., http://www...) and the access date.

Extensions:

There will be a penalty for late papers, unless you receive an extension from me by no later than one week BEFORE the deadline. NO extensions will be granted after that. I do this in order to make things as fair as possible. Everyone should have approximately the same amount of time to work on their papers, otherwise some students may do better simply because they had more time.

Paper Specifications: A Checklist:

Please use this checklist when you are writing your paper in order to ensure that you fulfill all of the paper's specifications.

Length. The length of the paper is 3,750 words. A standard, double spaced, type-written page that has one-inch margins, is set at 12-point, and is not proportionally spaced (i.e., set in the "courier" font) contains on average 250 words. Thus, the paper is 15 standard-typed pages long. It is fine if you use proportional spacing and a nice looking font, but your printed paper will then amount to fewer pages. Sorry about this, but the flexibility of computers and laser printers (as well as the "make it fit" option in WordPerfect and other software programs) have made setting a paper length much more complicated! The bottom line is that the number of WORDS is MORE important than the number of pages. You can use either "word count" or the "spell check" on your word-processing software to determine the number of words.

A paper that is excessively short or long may be either returned to the student UNGRADED for revision or PENALIZED with a reduction in grade, depending on the specific circumstances!

Word Count. Please print the number of words in the text's body at the bottom of the last page.

Number your Pages! Numbering your pages by hand is better than not numbering them at all.

Citations. The paper must include footnotes (or end notes) and a bibliography, but do NOT include the citations or the bibliography in the word count.

Hand in your original outline and any subsequent revisions. I ask you to do this ONLY to help you when I'm grading the paper. I use the outline to follow the history of the research.

Make a COPY of your Paper. Be sure to make an extra copy of your paper. I take extra care with the papers, but it is better to be safe than sorry.

CLASS PARTICIPATION:

There are three different components of participation. The first three elements combined determine ten percent of your final grade. The fourth form of participation, a simulation exercise, accounts for an additional ten percent of your grade.

1. Spontaneous class questions and discussion is the first element of participation. I am particularly interested in honest efforts to improve your understanding of the material, so DON'T be afraid to ask a question in class, especially if you don't understand something. Just asking a question will help everyone in the class and improve your participation grade!

2. Structured in-class discussions are the second form of class participation. The structured in-class discussions are marked on your syllabus and you are expected to prepare in advance for them by having read all assignments before arriving for class that day. I will tell you in advance the exact form of the exercise.

3. A simulation exercise of a regional economic summit is the fourth form of participation. You will form a team early in the semester to prepare for the simulation exercise. Each team will represent the views of one of the regular participants in a regional summit. Each team is responsible for researching the past and present positions of the assigned participant and faithfully representing its views. I will choose a specific topic for the summit. You are encouraged to meet with me to discuss your team's position, if you are not clear what it should be.

On week ten, each team must bring to class for distribution a single-page memorandum that states its country's opening position for the summit. The memorandum is worth 5 percent of the course grade.

On week eleven, we will hold a summit negotiating session in class to draft a joint communiqué. The quality of your participation is worth an additional five percent of the total grade.

*** Note Bene ***Failure to agree on a joint communiqué by the end of class will result in a penalty: each team will be required to draft an additional five-page statement explaining why the summit came to an impasse. (This is meant to simulate the substantial political penalty that participants would suffer if a summit broke down).

MY HOMEPAGE:

I have a homepage on the World Wide Web. Its address is:

<http://www.american.edu/silvia/leadpage.htm>.

My homepage contains copies of syllabi for all the courses I teach, a selected number of course handouts, some of my recent written work, and links to numerous other useful websites.

OFFICE HOURS:

I post a sign-up sheet on my door for you to reserve a time for my office hours. The purpose of the list is to save you time by preventing a long line from forming outside of my office. Those who sign up in advance will have priority over those who do not, but I will be happy to see all who come without signing up on a first come, first serve basis in between and after those who have signed up.

Each slot lasts fifteen minutes. If you think that you will need more than fifteen minutes, please sign up for an extra slot.

READINGS:

RESERVES:

All of the course readings are on TWO-HOUR RESERVE at Bender Library.

BOOK PURCHASES:

The following books for the course are available at the American University Campus Store:

Required Purchases:

1) I.M. Destler, Renewing Fast-Track Legislation. Washington, DC: IIE, 1997.

2) Orin Kirschner, ed., The Bretton Woods-GATT System: Retrospect and Prospect after Fifty Years. Armonk, NY: M.E. Sharpe, 1996.

3) Gerald M. Meier, The International Environment of Business: Competition and Governance in the Global Economy. Oxford University Press, 1998.

Recommended Purchases:

1) Stephen D. Cohen, The Making of United States International Economic Policy, 4th ed. NY: Praeger, 1994.

2) Sidney Weintraub, NAFTA at Three: A Progress Report. Washington, DC: CSIS, 1997.

*3) Is Global Capitalism Working? A Foreign Affairs Reader. NY: Council on For. Rel., 1998.

*4) Barry Eichengreen, ed.,Transatlantic Economic Relations in the Post-Cold War Era. NY: Council on Foreign Relations, 1998.

*5) R. Kerry Turner, David Pearce and Ian Bateman, Environmental Economics: An Elementary Introduction. Baltimore, MD: The Johns Hopkins University Press, 1993.

* N.B., I only ordered these last three books shortly before the start of class, so they have NOT arrived at the book store yet. I will keep you posted re these books.

N.B. You do NOT have to buy these recomended books, but you DO have to read the assigned pages on the syllabus from them. Some of these books are expensive, because they are hardbound. Others we will only use for one week of class. That is why they are recommended rather than required purchases. If you have a special interest in the topic covered by one or more of these books or prefer the convenience of owning your own copy, then it would make sense to get them. Otherwise you can find them at the library or pool your purchases with friends.

COURSE READINGS AND OUTLINE:

ALL the readings listed below are REQUIRED readings, unless otherwise indicated. The recommended readings are there for your information and to help you with your paper. There is no obligation to read them.

I. HISTORY OF UNITED STATES FOREIGN ECONOMIC POLICY

Session 1 (August 30) Early History of U.S. Foreign Economic Policy, 1607-1934.

- No readings.

Recommended:

- Robin Blackburn, The Making of New World Slavery: From the Baroque to the Modern, 1492-1800 (1997).

- Alfred Eckes, Openning America's Market: US Foreign Trade Policy since 1776.

- Merle Fainsod, Lincoln Gordon and Joseph C. Palamountain, Jr., Government and the American Economy, 3rd ed.

- Milton Friedman and Anna Jacobson Schrwartz, A Monetary History of the United States, 1867 to 1960 (1963).

- Alexander Hamilton, Report on the Subject of Manufactures.

- Paul Mitchell Marks, In a Barren Land: American Indian Dispossession and Survival (1998).

- Allen J. Matusow, Nixon's Economy (1998).

- Lloyd J. Mercer, Railroads and the Land Grant Policy: A Study in Government Intervention.

- Jonathan Pincus, Politics, Pressures, and the Antebellum Tariff.

- Richard Robinson, United States Business History, 1602-1988.

- Harry N. Scheiber, Harold G. Vatter, and Harold Underwood Faukner, American Economic History, ninth edition.

- M. J. Sklar, The United States as a Developing Country.

- Gaddis Smith, The Last Years of the Monroe Doctrine, 1945-1993 (1996).

- Frank W. Taussig, The Tariff History of the United States, 8th ed.

Session 2 (September 2) No Class.

II. THE U.S. AND THE POSTWAR INTERNATIONAL ECONOMIC ORDER, 1944-73

Sessions 3-4 (September 9 and 13) The Trade Order.

- G.M. Meier, The International Environment of Business, chaps. 2-3, pp. 33-56 and pp. 66-118.

- - O. Kirschner, ed., The Bretton Woods-GATT System: Retrospect and Prospect after Fifty Years:

• S. Reisman, "The Birth of a World Trading System," ch. 6, pp. 82-86.

• W. Diebold, Jr., "From the ITO to GATT -- and Back?" ch. 12, pp. 152-173.

• I. Frank, "Post-Uruguay Round Trade Policy for a Global Europe," ch. 17, pp. 240-61.

• J.Greenwald, "Regionalism, Multilateralism and American Leadership," ch. 19, pp. 270-83.

Recommended:

- T. O. Bayard and K. A. Elliott, Reciprocity and Retaliation: An Evaluation of Tough Trade Policies

- Jagdish Bhagwati and Hathias Hirsch, eds., The Uruguay Round and Beyond (Ann Arbor: U of Michigan P, 1998).

- John Croome, Reshaping the World Trading System (Geneva: WTO, 1996).

- Jock Findlayson and Mark Zacher, "The Gatt and the Regulation of Trade Barriers," International Organization 35, no. 4 (Autumn 1981), pp. 561-602.

- R.O. Keohane, "International Relations and International Law: Two Optics," Harvard Int'l Law J. 38 (1997).

- Anne O. Krueger, ed., The WTO as an International Organization (1998).

- Philip M. Nichols, "Forgotten Linkages -- Historical Institutionalism and Sociological Institutionalism and Analysis of the World Trade Organization," University of Pennsylvania J of International Economic Law 19 (1998).

- Richard G. Shell, "Trade Legalism and International Relations Theory: An Analysis of the World Trade Organization," Duke Law Journal 44 (1995).

- James Stewart, The Uruguay Round: A Negotiating History, 1987-91.

Sessions 5-7 (September 16, 20 and 23) The Monetary Order.

- Gerald M. Meier, The International Environment of Business, chap. 5, pp. 170-192.

- O. Kirschner, ed., The Bretton Woods-GATT System: Retrospect and Prospect after Fifty Years: • Margaret Garritsen de Vries, "The Bretton Woods Conference and the Birth of the International Monetary Fund," ch. 1, pp. 3-18.

• Raymond F. Mikesell, "Some Issues in the Bretton Woods Debates," ch. 2, pp. 19-29.

• Raymond Vernon, "The U.S. Government at Bretton Woods and After," ch. 4, pp. 52-69.

• E. Bernstein, "Making and Remaking of the Bretton Woods Insitutions," ch. 7, pp. 89-98.

• Roberto Campos, "Fifty Years of Bretton Woods," ch. 8, pp. 99-105.

• 15, P. Nitze and J. McCall, "Bretton Woods, Prosperity and Security," ch., pp. 213-18.

Recommended:

- Benjamin J. Cohen, The Geography of Money (Cornell UP, 1998).

- Barry Eichengreen, Globalizing Capital: A History of the International Monetary System (1996).

- Joan Gowa, Closing the Gold Window: Domestic Politics and the End of Bretton Woods (Cornell UP, 1983)

- James Harold, International Monetary Co-operation Since Bretton Woods (1996).

- C. Randall Henning, Currencies and Politics in the United States, Germany, and Japan (IIE, 1994).

- Richard O'Brien, "Who Rules the World's Financial Markets?" Harvard Business Review 73, 2 (Mar./April 1995).

- Robert Solomon, The International Monetary System, 1945-1981 (NY: Harper & Row, 1982).

- Robert Solomon, Money on the Move: The Revolution in International Finance since 1980 (Princeton UP, 1999).

TAKE-HOME QUIZ: HANDED OUT September 23; DUE September 27.

III. UNITED STATES TRADE POLICY: THEORY AND PRACTICE

Sessions 8-10 (Sept. 27 and 30, Oct. 4) Foreign Economic Policy-making in the U.S..

- Stephen D. Cohen, The Making of United States International Economic Policy, chaps. 3, 5 and 6; pp. 45-69 and 94-146.

- I.M. Destler, Renewing Fast-Track Legislation (1997), pp. 1-40.

- Daniel T. Griswold, "Free Trade, Free Markets: Rating the 105^th Congress," Cato Institute Trade Policy Analysis no. 6 (3 February 1999), pp. 1-14, plus appendices and endnotes.

- Paul Krugman, "America the Boastful," Foreign Affairs 77, no. 3 (May/June 1998): 32-45.

Recommended:

- I. M. Destler, American Trade Politics.

- Jeffrey W. Hayes and Seymour Martin Lipset, "The Social Roots of United States Protectionism," in Inter-American Development Bank and Economic Commission for Latin America and the Caribbean, eds., Trade Liberalization in the Western Hemisphere (Washington, D.C.: Economic Commission on Latin American and the Caribbean, 1995), pp. 471-502.

- Greg Mastel, American Trade Laws after the Uruguay Round (1996).

- E.E. Schattschneider, Politics, Pressures and the Tariff.

- Susan C. Schwab, Trade-offs: Negotiating the Omnibus Trade and Competitiveness Act.

- Laura D'Andrea Tyson, Who's Bashing Whom? (Washington, DC: IIE).

OUTLINE DUE (October 4).

Session 11 (October 7) Discussion I: U.S. Trade Policy-making on Trial: Is the process of U.S. foreign economic policy-making as good as we could realistically expect it to be?

Session 12 (October 11): IN-CLASS ONE-HOUR MIDTERM EXAMINATION.

IV. UNITED STATES REGIONAL FOREIGN ECONOMIC POLICIES

Sessions 13 and 14 (Oct. 14 and 18) The North American Free Trade Agreement (NAFTA).

- Sidney Weintraub, NAFTA at Three: A Progress Report, chaps. 1-6, pp. 1-86.

Recommended:

- John J. Audley, Green Politics and Global Trade: NAFTA and the Future of Environmental Politics (Washington, DC: Georgetown UP, 1997).

- Bruce Ackerman and D. Golare, "Is NAFTA Constitutional?" Harvard Law Review 108, no. 4 (February 1995): 801-29.

- Janet M. Box-Steffensmeister et al., "The Strategic Timing of Position Taking in Congress: A Study of the North American Free Trade Agreement," American Political Science Review 91, no. 2 (June 1997), pp. 324-38.

- Richard S. Belous and Jonathan Lemco, eds., NAFTA as a Model of Development.

- A.B. Fox, "Environment and Trade: The NAFTA Case," Political Science Quarterly 110, no. 1 (Spring 1995), 49-68.

- Gary Clyde Hufbauer and Jeffrey J. Schott, NAFTA: An Assessment.

- Ronald F. Inglehart, Neil Nevitte and Miguel Basañez, The North America Trajectory: Cultural, Economic and Political Ties among the United States, Canada, and Mexico (1996).

- R. Snyder, "After Neoliberalism: The Politics of Regulation in Mexico," World Politics 51, no. 2 (Jan. 1999): 173-204.

Session 15 (October 21) Discussion II: Has the United States on Balance Benefitted from the NAFTA?

Sessions 16 and 17 (October 25 and 28) U.S. Economic Relations with Japan.

- Gerald M. Meier, The International Environment of Business, chap. 7, pp. 264-94.

- Peter F. Drucker, "In Defense of Japanese Bureaucracy," Foreign Affairs 77, no. 5 (Sept./Oct. 1998), pp. 68-80.

- Milton Ezrati, "Japan's Aging Economics," Foreign Affairs 76, no. 3 (May/June 1997), pp. 96-104.

- Richard Katz and Adam Posen, "Nippon Faceoff," The International Economy (November/December 1998), pp. 58-61.

- Roy C. Smith, "Restructuring Japanese Financial Institutions," Washington Quarterly 22, no. 3 (Summer 1999), pp. 183-193.

- Michael E. Porter and Hirotaka Takeuchi, "Fixing What Really Ails Japan," Foreign Affairs 78, no. 3 (May/June 1999), pp. 66-81.

Recommended:

- Michael H. Armacost, Friends or Rivals? The Insider's Account of U.S.-Japan Relations.

- Dick Beason and Jason James, The Political Economy of Japanese Financial Markets: Myths versus Reality (NY: St. Martin's, 1999).

- Scott Callow, Divided Sun: MITI and the Breakdown of Japanese High-Tech Industrial Policy, 1975-1993.

- Lonny Carlile and Mark C. Tilton, eds., Is Japan Really Changing its Ways? Regulatory Reform and the Japanese Economy (Washington, D.C.: Brookings, 1998).

- Stephen D. Cohen, Cowboys and Samurai.

- David Friedman, The Misunderstood Miracle.

- D. J. Encarnation, Rivals in Trade: America versus Japan in Global Competition.

- Peter Hartcher, The Ministry: How Japan's Most Powerful Institution Endangers World Markets (1998).

- C. Howe, The Origins of Japanese Trade Supremacy: Development and Technology in Asia from 1540 to the Pacific War.

- Ricard Katz, The System that Soured: The Rise and Fall of the Japanese Economic Miracle (M.E. Sharpe, 1998).

- Simon Lee, "Managed or Mismanaged Trade? US-Japan Trade Relations during the Clinton Presidency," in Ian G. Cook et al., eds., Dynamic Asia: Business, Trade and Economic Development in Pacific Asia (Aldershot: Ashgate 1998).

- Koji Matsumoto, The Rise of the Japanese Corporate System: The Inside View of a MITI Official.

- Yasusuke Murakami and Hugh T. Patrick, eds., The Political Economy of Japan, 3 vols.

- Adam Simon Posen, Restoring Japan's Economic Growth (Washington, D.C.: Institute International Economics, 1998).

- Leonard J. Schoppa, Bargaining with Japan: What American Pressure can and cannot do (NY Columbia UP, 1997).

- Patrick Smith, Japan: A Reinterpretation (1997).

- Eisuke Sakakibara, Beyond Capitalism: The Japanese Model of Market Economics.

- Elinor Westney, Imitation and Innovation: The Transfer of Western Organizational Patterns to Meiji Japan.

- Noboru Yoshimura and Philip Anderson, Inside the Kaisha: Demystifying Japanese Business Behavior (1997).

Session 18 (November 1) Discussion III: (Mis)understandings in U.S.-Japanese Relations.

SUMMIT MEMORANDUM DUE: (November 5).

Sessions 19 and 20 (November 4 and 8): U.S. Economic Relations with the European Union.

- Gerald M. Meier, The International Environment of Business, chap. 6, pp. 235-63.

- Barry Eichengreen, ed., Transatlantic Economic Relations in the Post-Cold War Era (New York: Council on Foreign Relations, 1998):

Chap. 2, David Soskice, "Opennes and Diversity in Transatlantic Economic Relations," pp. 8-35.

Chap. 3, Jeffery Schott, "Whither U.S.-EU Trade Relations?" pp. 36-68.

Chap. 4, Barry Eichengreen and Fabio Ghironi, "European Monetary Unification and International Monetary Cooperation," pp. 69-98.

Recommended:

- Paul DeGrauwe, The Economics of Monetary Integration (Oxford UP, 1997).

- Martin Feldstein, "EMU and International Conflict," Foreign Affairs 76, no. 6 (Nov./Dec. 1997), pp. 60-73.

- Glennon J. Harrison, ed., Europe and the United States.

- C. Randall Henning, "Europe's Monetary Union and the United States," Foreign Policy, no. 102 (Spr. 1996): 83-100.

- Brian Hocking and Michael Smith, Beyond Foreign Economic Policy: The United States, the Single European Market and the Challenging World Economy (London: Cassell, 1997).

- Miles Kahler, Regional Futures and Transatlantic Economic Relations.

- Neil Nugent, The Government and Politics of the European Community.

- Bruce Stokes, ed., Open for Business: Creating a Transatlantic Marketplace.

Session 21 (November 11): SUMMIT SIMULATION.

- No Readings.

Recommended:

- Robert Putnam and Nicholas Bayne, Cooperation and Conflict in the Seven-Power Summit.

- C. Fred Bergsten and C. Randell Henning, Global Economic Leadership.

V. OTHER IMPORTANT ISSUES IN U.S. FOREIGN ECONOMIC POLICY

Sessions 22 and 23 (November 15 and 18) Development.

- Gerald M. Meier, The International Environment of Business, chap. 8, pp. 296-336.

- Mancur Olson, "Big Bills left on the Sidewalk: Why Some Nations are Rich, and Others Poor," Journal of Economic Perspectives 10, no. 2 (Spring 1996): 3-24.

- Joseph E. Stiglitz and Lyn Squire, "International Development: Is it Possible?" Foreign Policy, no. 110 (Spring 1998), 138-150.

Oral Presentation:______________________________________________________________

Recommended:

- P.-R. Agénor and Peter Montiel Development Maroeconomics (Princeton Univ. Press, 1996).

- Robert J. Barro, Determinants of Economic Growth: A Cross-Country Empirical Study (Cambridge, MA: MIT, 1997).

- Don P. Clark, "Trade Orientation and Industrial Sector Growth in Developing Countries," Journal of Developing Areas 30, no. 1 (October 1995).

- J. Dorn, S. Hanke and A. Walters, eds., The Revolution in Development Economics (Washington, DC: CATO, 1998).

- D. Goulet, "Development: Creator and Destroyer of Values," World Development 20, no. 3 (Mar. 1992): 467-75.

- Charles I. Jones, Introduction to Economic Growth (NY: W.W. Norton, 1997).

- Paul R. Krugman, Development, Geography and Economic Theory (Cambridge, MA: MIT, 1995).

- Arthur Lewis, "The Roots of Development Theory," in Hollis Chenery and T.N. Srinivasan, eds., Handbook of Development Economics, vol. 1 (Amsterdam: North-Holland, 1988), chap. 2.

- Gregory Mankiw, "The Growth of Nations," Brookings Papers on Economic Activity, (Washington, DC: Brookings, September 1995).

- Jeffery Sachs and Andrew Warner, "Economic Reform and the Process of Global Integration," Brookings Papers on Economic Activity, (Washington, DC: Brookings, September 1995).

- Nicholas Stern, "The Economics of Development: A Survey," Economic Journal , no. (September 1989).

- Federico Sturzenegger and Mariano Tommasi, eds., The Political Economy of Reform (Cambridge, MA: MIT, 1998).

- Michael P. Todaro, Economic Development, 6^th edition (Reading, MA: Addison-Wesley, 1997).

RESEARCH PAPER DUE IN CLASS: (November 22).

Sessions 24 and 25 (November 22 and*TUESDAY* November 23) Globalization.

- Council on Foreign Relations, Is Global Capitalism Working? A Foreign Affairs Reader (NY: Council on Foreign Relations, 1998), pp. 3-113 and 138-142.

- Hugh Louch, Eszter Hargitti and Miguel Angel Centeno, "Phone Calls and Fax Machines: The Limits to Globalization," Washington Quarterly 22, no. 2 (Spring 1999), pp. 83-100.

Recommended:

- Dean Baker, Gerald A. Epstein and Robert Pollin, eds., Globalization and Progressive Economic Policy (Cambridge UP, 1999).

- Richard Caves, Multinational Enterprise and Economic Analysis, 2^nd edition, (1996).

- P.F. Drucker, "Multinationals and Developing Countries: Myths and Realities," Foreign Affairs 53, no. 1 (Jan. 1974).

- Richard Freeman, "Are Your Wages Set in Beijing?" Journal of Economic Perspectives (Summer 1995).

- Inge Kaul, Isabelle Grunberg and Marc A. Stern ,eds., Global Public Goods: International Cooperation in the 21^st Century (Oxford UP, 1999).

- Brian Langille, "Eight eays to think about International Labour Standards," Journal of World Trade, (Aug. 1997).

- Jan Mandle, "The Wrong Enemy: Why We shouldn't Fear Low-Wage Imports," American Prospect, no. 37 (March/April 1998), pp. 40-44.

- Kathleen Newland, "Workers of the World, Now What?" Foreign Policy, no. 114 (Spring 1999), 52-65.

- W.H. Reinicke, Global Public Policy: Governing without Government? (Washington, DC: Brookings, 1997).

- Dani Rodrik, Has Globalization gone too far? (Washington, D.C.: Institute for International Economics, 1997).

- Raymond Vernon, Sovereignty At Bay: The Multinational Spread of United States Enterprises (1971).

- Howard Wachtel, "Labor's Stake in the WTO," American Prospect, no. 37 (March/April 1998), pp. 34-38.

Session 26 (November 29) Discussion IV: Has Globalization gone too far?

Session 27 (December 2) Economy and Ecology.

- R. Kerry Turner, David Pearce and Ian Bateman, Environmental Economics: An Elementary Introduction (1993), chaps. 4-7, 10-14, 19-20 and 22-23, pp. 54-107, 143-201, 267-89 and 299-315.

- Richard N. Cooper, "Toward a Real Global Warming Treaty," Foreign Affairs 77, no. 2 (March/April 1998): 66-79.

- Reply: Stuart Eizenstadt, "Stick with Kyoto," Foreign Affairs 77, no. 3 (May/June 1998): 119-121.

- Henry D. Jacoby, Ronald G. Prinn and Richard Schmalensee, "Kyoto's Unfinished Business," Foreign Affairs 77, no. 4 (July/August 1998): 54-66.

Recommended:

- William J. Baumol and Wallace E. Oates, The Theory of Environmental Policy, 2^nd edition (Cambridge UP, 1988).

- Richard Elliot Benedick, Ozone Diplomacy: New Directions in Safteguarding the Planet, 2nd ed., (Harvard UP, 1998).

- James William Burroughs, Does the Weather Really Matter? the Social Implications of Climate Change (1997).

- R. Congleton, ed., The Political Economy of Environmental Protection: Analysis and Evidence (U. Michigan P., 1996).

- J.S. Dryzek and David Schlosberg, eds., Debating the Earth: The Environmental Politics Reader (Oxford UP, 1998).

- Albert Gore, Earth in the Balance.

- Garrett Hardin, "The Tragedy of the Commons," Science 162 (December 1968): 1243-48.

- David L. Levy and Daniel Egan, "Capital Contests: National and Transnational Channels of Corporate Influence on the Climatic Change Negotiations," Politics & Society 26, no. 3 (Sept. 1998).

- John W. Meyer et al., "The Structuring of a World Environmental Regime, 1870-1990," International Organization 51, no. 4 (Autumn 1997), pp. 623-51.

- David W. Pearce, "Economics of the Environment," in David Greenaway, Michael Bleaney and Ian Stewart, eds., A Guide to Modern Economics (London: Routledge, 1996), pp. 174-200.

- M. E. Porter and C. van der Linde, "Green and Competitive," Harvard Business Review 73, no. 5 (Sept-Oct 1995).

- Robert Repetto, "Trade and Sustainable Development," in M. G. Quibria, ed., Critical Issues in Asian Development.

- David Malin Roodman, The Natural Wealth of Nations: Harnessing the Market for the Environment (NY: W.W. Norton, 1998).

- Stephan Schmidheiny and Frederico Zorraquin, Financing Change.

- Julian L. Simon, The Ultimate Resource, 2^nd edition (Princeton UP, 1996).

- Julian L. Simon and Herman Kahn, eds., Resourceful Earth.

- Peter Uimonen, Environmental Issues in the New World Trading System (NY: St. Martin's, 1997).

- David Vogel, Trading Up: Consumer and Environmental Regulation in a Global Economy.

- World Commission on Environment and Development [Brundtland Report], Our Common Future. (Oxford UP, 1987).

Session 28 (December 6) Discussion V: Should the US Senate ratify the 1998 Kyoto agreement?

FINAL EXAMINATION: December 13, 11:20 a.m. to 1:50 p.m.