Featuring an algebraic and geometric treatment of the various models and results of trade theory, this edition is expanded and revised. The authors offer both policy insights and empirical applications. They have added nine new chapters, as well as new sections to several existing chapters - for example, an expanded treatment of the growing theory of preferential trade agreements. The new chapters are on: the specific-factors model; the "Higher-dimensional" trade theory and empirical verification of the Heckscher-Ohlin-Vanek theory; duality on trade theory; algebra of the Hekscher-Ohlin and specific-factor models; the theories of international trade in the presence of scale economies; nontariff instruments of trade policy, chiefly AD, VERs, and VIEs; trade policy under oligopoly and monopolistic competition; trade policy reform; and the application of recent literature on endogenous growth to trade theory and policy.

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Jagdish N. Bhagwati is University Professor of Economics, Law, and International Relations at Columbia University and former Adviser to the Director General of GATT, Arthur Dunkel. He is the author (with Arvind Panagariya) of Why Growth Matters: How Economic Growth in India Reduced Poverty and the Lessons for Other Developing Countries.

Arvind Panagariya is Vice Chairman, NITI Aayog (National Institution for Transforming India), Government of India, and Professor of Economics in the School of International and Public Affairs at Columbia University.

T.N. Srinivasan is Samuel C. Park Jr. Professor of Economics at Yale University.

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