A global perspective

Macroeconomics without borders. Trade and exchange rates, the causes of poverty and inequality, how developing economies grow, the workings of the financial sector, and the reach and limits of the state.

Topics in this theme

Topic pages

4.1

International economics

Globalisation, comparative advantage and the pattern of trade, protectionism, exchange rates, and the balance of payments.

Content coming

4.2

Poverty and inequality

Absolute and relative poverty, the causes of inequality, the Lorenz curve and Gini coefficient, and capitalism versus equity.

Content coming

4.3

Emerging and developing economies

Measures of development, the barriers to growth and development, and the strategies used to overcome them.

Content coming

4.4

The financial sector

The role of financial markets, market failure in the financial sector, and the regulation of banks.

Content coming

4.5

The role of the state in the macroeconomy

Public expenditure, taxation, public-sector borrowing and debt, and macroeconomic policies in a global context.

Content coming

The template

Synoptic by nature: Theme 4 pulls Themes 1 to 3 onto the world stage, so the topic pages here lean on the exchange-rate, trade and Lorenz-curve diagrams. Each follows the worked example in Theme 1.