International Finance: Theory and Policy
Version 1.0
By Steve Suranovic
Included Supplements
Key Features
This International Finance text is built on the belief that to understand the international economy, students need to learn how economic models are applied to real world problems.
International Finance: Theory and Policy
Steve Suranovic
In writing International Finance: Theory and Policy, Steve Suranovic’s goals were simple:
- To help students understand the international economy by illustrating how economic models are applied to real-world issues
- To develop a unified model of the international macroeconomy
- HISTORICAL CONTEXT:
- FIXED & FLOATING EXCHANGES:
- TRADE IMBALANCES:
- AA-DD MODEL:
This textbook is suitable for these courses: International Finance (one semester)
This textbook is suitable for 2 and 4 year institutions.
PEDAGOGICAL FEATURES:
Begins with an historical overview of the international macroeconomy to provide context for the theory
Concludes with a detailed discussion of the pros and cons of fixed and floating exchange rate systems
Provides an extensive look at the issue of trade imbalances. Readers learn techniques to evaluate whether a country's trade deficit (or surplus) is dangerous, beneficial, or benign
Applies the AA-DD model to understand the effects of monetary and fiscal policy on GDP, the exchange rate, and the trade balance
- About the Author
- Acknowledgments
- Preface
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Chapter 1: Introductory Finance Issues: Current Patterns, Past History, and International Institutions
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Chapter 2: National Income and the Balance of Payments Accounts
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Chapter 3: The Whole Truth about Trade Imbalances
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Chapter 4: Foreign Exchange Markets and Rates of Return
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Chapter 5: Interest Rate Parity
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Chapter 6: Purchasing Power Parity
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Chapter 7: Interest Rate Determination
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Chapter 8: National Output Determination
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Chapter 9: The AA-DD Model
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Chapter 10: Policy Effects with Floating Exchange Rates
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Chapter 11: Fixed Exchange Rates
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Chapter 12: Policy Effects with Fixed Exchange Rates
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Chapter 13: Fixed versus Floating Exchange Rates

Instructor’s Manual
The Instructor’s Manual guides you through the main concepts of each chapter and important elements such as learning objectives, key terms, and key takeaways. Can include answers to chapter exercises, group activity suggestions, and discussion questions.

PowerPoint Lecture Notes
A PowerPoint presentation highlighting key learning objectives and the main concepts for each chapter are available for you to use in your classroom. You can either cut and paste sections or use the presentation as a whole.

Test Item File
Need assistance in supplementing your quizzes and tests? Our test-item files (in Word format) contain many multiple-choice, fill-in-the-blank, and short-answer questions.
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