Return to Curriculum Webpage

Description:	This is a course on international finance theory and policy. The focus of the course is international payment flows, exchange rates and economic policy in the open economy context. The course introduces the current state of international finance and develops an analytical framework for analyzing monetary and fiscal policy in open economies, and emphasizes the determination of nominal and real exchange rates and international asset pricing.
Topics:	Balance of payments and current account models. Nominal exchange rate. Real exchange rate. Exchange rate determination. Expectations and volatility . Equilibrium exchange rate. Exchange rate regimes. Speculative attacks and crises. Optimal choice of regimes. Exchange rate in transition countries. Balassa-Samuelson effect. Small macroeconomic models for open economy. International Monetary System. European Monetary Union.
Teaching:	56 hours during third semester