Chapter 1 INTRODUCTION TO INTERNATIONAL FINANCE
The Subject Matter of International Finance
The Environment of International Finance
The Theory of Comparative Advantage
The Benefits of Studying International Finance
The Structure of This Book
Summary
Key Concepts and Terms
Questions

Chapter 2 THE BALANCE OF PAYMENTS
Definition of the Balance of Payments
Balance of Payments Accounting
Accounts of the Balance of Payments
Surpluses and Deficits in the Balance of Payments Accounts
International Investment Position
The Current Account and the Macroeconomics
The Economic Relationship between Current Account and Financial Account
Summary
Key Concepts and Terms
Questions

Chapter 3 THE FOREIGN EXCHANGE MARKET
The Basics of Foreign Exchange Market
Spot Exchange Market， Exchange Rate Quotations， and Foreign Exchange Arbitrage
The Forward Foreign Exchange Market
Foreign Exchange Risk and Hedging Strategies
Other Types of Exchange Rates
Summary
Key Concepts and Terms
Questions

Chapter 4 INTERNATIONAL MONETARY SYSTEM
Definition of the International Monetary System
The Gold Standard （1876-1944）
Bretton Woods System （1944-1973）
Floating Exchange Rate System （1973-Now）
Exchange Rate Systems in Practice
Arguments for Fixed and Floating Exchange Rates
Summary
Key Concepts and Terms
Questions

Chapter 5 EXCHANGE RATE DETERMINATION AND FORECASTING EXCHANGE RATES
Exchange Rates Determination in the Short Run
Purchasing Power Parity （PPP）
Interest Rate Parity （IRP）
Real Interest Rates and Real Interest Parity
Exchange Rate Forecasting
Summary
Key Concepts and Terms
Questions

Chapter 6 FINANCIAL DERIVATIVES FOR CURRENCY RISK MANAGEMENT
Currency Futures
Currency Option
Currency Swaps and Interest Rate Swaps
Summary
Key Concepts and Terms
Questions
……

Chapter 7 INTERNATIONAL FINANCIAL MARKETS
Chapter 8 THE BALANCE OF PAYMENTS ADJUSTMENT
Chapter 9 EQUILIBRIUM IN BALANCE OF PAYMENTS AND EXCHANGE RATE
Chapter 10 MACROECONOMICSIN AN OPEN ECONOMY
Chapter 11 ECONOMIC POLICY UNDER FIXED AND FLOATING EXCHANGE RATE SYSTEM