ECON6003 - Money and Banking

Term 2

Aims:

This module aims to enable students to apply both microeconomic and macroeconomic analysis to the assessment of current debates on financial and monetary issues.

Objectives:

A basic understanding of:

• The principles of bank management and their changing character in recent decades
• Strategies adopted by banks to address risk, with particularly reference to informational asymmetries
• The economic theory of bank intermediation
• The role of banking in the financial system and in the wider economy
• Banking regulation and government intervention in the banking sector
• Theories and debates on the role and effectiveness of monetary policy
• Monetary aggregates, exchange rates and inflation as targets of monetary policy
• The historical experience of UK monetary policy during the past three decades