This course explores the interaction between money, financial markets and institutions. We examine (1) the three roles of money – using cryptocurrencies as leading example, (2) the core principles of asset pricing, (3) how financial institutions help to overcome financial frictions, but may lead to financial crisis and bank runs – with the Great Depression, the Great Recession and the Euro crisis as prominent examples, (4) how monetary and macroprudential policy manage inflation and can help to mitigate financial crises, (5) the international financial architecture, especially the role of the... Read more about ECO342: Money and Banking
The aim of this Ph.D. course is to provide an introduction to asset pricing under asymmetric information. Module I introduces students to rational expectations models and strategic market microstructure models, especially insider trading and sequential trade models. It also highlights the role of higher order uncertainty and knowledge and outlines no-trade theorems. Module II pays explicit attention to models of bubbles and limits to arbitrage. Herding models form part of this module. Module III outlines with recent liquidity models that have important implications for risk management and...
An introduction to the modern theory of asset pricing. Topics include: No arbitrage, Arrow-Debreu prices and equivalent martingale measure; security structure and market completeness; mean-variance analysis, Beta-Pricing, CAPM; introduction to derivative pricing and "friction finance".
Course studies financial institutions and focuses on the stability of the financial system. It covers important theoretical concepts and recent developments in financial intermediation, asset pricing under asymmetric information, behavioral finance, and market microstructure. Topics include market efficiency, asset price bubbles, herding, liquidity crisis, credit crunch, risk management, market design, and financial regulation.