Lecture
Vorlesung, SWS:2, VL Number: 33546
Lecturer
Description
After a brief review of basic concepts in international macroeconomics and finance, the course is divided in two main parts. The first part focuses on the characterization of international financial markets. It begins with a review of the principles of international risk-sharing through trade in assets, and discusses the core models under complete markets. It follows with the introduction of market imperfections addressing problems such as sovereign debt sustainability and limited enforcement of sovereign debts contracts.
The second part concentrates on the study of global imbalances and external adjustments. Global imbalances serve as an indicator of risk and stability of the global financial system. The course reviews the factors that drive global imbalances for individual countries and the world economy as a whole. It distinguishes natural levels of borrowing on international markets from excessive borrowing and analyses related risks and potential inefficiencies, resulting from debt crises or currency attacks.
The focus of the course is on the study of the theoretical models. However, models are introduced with a brief analysis of empirical regularities and stylised facts.
The course is taught in English. Also the exam will be posed in English.
Exercise Course
An exercise course will support students in handling the different modeling approaches. It is strongly recommended to attend this exercise course in order to pass the exam.
Grading
Grading of the course is based on active participation and a written exam (1h) at the end of the term.
Registration (and deregistration) for the final exam takes place via the Campus Online system. Campus Online also provides information on current registration periods, time and place of exams.
Exercise
Übung, SWS:1, VL Number: 33545
Lecturer
The exercise course is closely linked to the lecture and supports the students in handling the different modeling approaches. The corresponding exercises will be provided on the e-learning server of the University of Bayreuth. It might be useful to prepare the exercises in advance to the course. It is strongly recommended to attend this course as well as the lecture for passing the exam successfully.
Please note there is no strict cutoff between the lecture and exercise course with respect to the time. Especially in the first weeks I will give a lecture in the afternoon. I will announce in class when we will discuss the respective problem set (usually after we have finished a chapter from the lecture course).