Analyze the gains from trade with the aid of the theory of comparative advantage.
Understand the arguments used to justify trade restrictions and critically appraise them.
Construct a country's balance of payments accounts showing the relationship between a current account deficit/surplus and a capital account deficit/surplus.
Isolate the factors that determine exchange rates and explain why the value of the dollar fluctuates.
Apply the AD/AS model to the understanding of expansionary and contractionary monetary policies.