International Economics:

International economics refers to that particular field of study dealing with trade between countries. International economics is particularly relevant in today's global world because it deals with several relevant topics such as exchange rates and flows of money between countries, free trade and trade disputes, Immigration between countries, The role of regulations in international trade and shipping costs on trade flows, globalization, and also about how differences in tax regimes influence a company's decisions on which countries to operate in.

Thus international economics is basically concerned with the effects of international differences on economic activity, in productive resources and consumer preferences and the natural and international institutions that affect them. It tries to explain the patterns in and the consequences of transactions and interactions between the people of different countries, including trade, investment and migration. International trade analysis pattern in the flow of goods-and-services across international boundaries and the factors that affect this flows such as supply-and-demand factors, , and policy variables such as tariff rates and trade quotas. Another aspect of international economics, namely international finance studies the movement of capital across International financial markets, and how these movements affect exchange rates. The field of international economics analyses the interaction of economic agents (such as individuals and firms) across nations and enquires into foreign trade,free trade, tariffs and exchange rates. International trade studies determinants of goods-and-services flows across international boundaries. It also concerns the size and distribution of gains from trade. Policy applications include estimating the effects of changing tariff rates and trade quotas. International finance is a macroeconomic field which examines the flow of capital across international borders, and the effects of these movements on exchange rates. Increased trade in goods, services and capital between countries is a major effect of contemporary globalization. The main areas covered under international economics include theories of international trade, commercial policy, balance of payments, and international economic relations.