Apart from basic concepts in international finance such as purchasing power parity and interest rate parity, the course also covers models of exchange rate determination and their empirical studies. The topic on Market Efficiency and Rational Expectations is included to give a microeconomic perspective about foreign exchange market. The rest of the course covers mainly financial crises, and macroeconomic management in an open economy. In this case, the course will cover the Asian Financial Crisis in 1997 and the Global Financial Crisis in 2008.
Programme: ECON(HSS)
Apart from basic concepts in international finance such as purchasing power parity and interest rate parity, the course also covers models of exchange rate determination and their empirical studies. The topic on Market Efficiency and Rational Expectations is included to give a microeconomic perspective about foreign exchange market. The rest of the course covers mainly financial crises, and macroeconomic management in an open economy. In this case, the course will cover the Asian Financial Crisis in 1997 and the Global Financial Crisis in 2008.