Course Detail (Course Description By Faculty)

This class covers the impact of central banks and regulation on money and credit as they move through the global financial system, highlighting the fragilities revealed in recent crises. We will assess the policy tools used by central banks to influence output, employment, and inflation/deflation as well as the scope and effectiveness of government regulation of banking and financial markets.  We will analyse what has caused the sharp rise in inflation and debate whether the Fed and other central banks will be able to bring down inflation without a recession.  We will draw on the Global Financial Crisis of 2008/09, disruptions due to COVID-19, the collapse of Silicon Valley Bank (SVB), as well as recent geopolitical conflicts to illustrate the interconnections across countries and markets and evaluate whether the monetary and regulatory policy responses have helped to make the global system more or less stable. The goal is to provide an economic framework to help students understand the sources of the fragilities and better navigate and prepare for economic and financial turbulence.

View Video Course Description for more details.

Summer 2024 Dates:  8/12, 8/13, 8/14, 8/16, 8/17

Prereq: Micro (33001, 33002, or 33101) strict.  Macro (33040) recommended.  Cannot enroll if taken 33401 previously.

You will have a written assignment due each class. The course grade will be based on five homework assignments (8 percent each), class participation (10 percent), and an exam (50 percent) that will be given in the first half of September. The readings and assignments will be posted on Canvas. You are encouraged to discuss the assignments with other students, but you must write up each individually and in your own words. Note that you have a homework assignment due at the start of the first day of class. Please submit it through Canvas before class. If you have trouble with Canvas, you can bring a print-out to turn in at the beginning of class.