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The book has been written keeping in mind the undergraduate and postgraduate students of international economics. It is designed to provide an analytical and critical account of theories and issues. At the same time it discusses the subject matter systematically and lucidly so that an average student can easily understand it. The book aims to serve as a concise and comprehensive textbook for students of International Economics. Salient Features Updated data throughout the text-incorporation of many new tables giving newer types of data Modification of the chapter on Global Trade- which captures the emerging trends in trade flows Addition of a section on Exchange Rate Policies and Trends in respect of the Rupee since 1947, with special focus on the recent trends in the external value of Rupee and its implications in the chapter on FOREIGN EXCHANGE Incorporation of a section on Foreign Exchange Reserves of India in the chapter on INTERNATIONAL LIQUIDITY AND RESERVES Modification of the chapter on INTERNATIONAL CAPITAL FLOWS incorporating the emerging trends in international capital flows