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The course will review important definitions and concepts used in the international finance/open macroeconomics literature. After reviewing the Mundell-Fleming model, we are going to advance into more sophisticated models that give different views on the determination of the exchange rate. The course will also cover important puzzles in the international finance literature such as purchasing power parity, uncovered interest parity, and the efficiency of the future exchange rate market. We will also discuss price (inflation and exchange rate) risk premium and default risk premium. An important part of this course will be devoted to empirical/econometric projects.
COURSE FORMAT: Lecture/Discussion
Level: UGRD Credit: 1 Gen Ed Area Dept: SBS ECON Grading Mode: Student Option
Prerequisites: ECON302
Last Updated on MAR-30-2006
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