MONEY AND BANKING
- Course
- BUSN332 - MONEY AND BANKING
- Department
- Business Administration - English - Undergraduate
- Course Type
- Course
- Status
- Required
- Language
- English
- Credit
- 3
- ECTS
- 6
- T+P+L
- 3 + 0 + 0
- Course Coordinator(s)
- -
- Prerequisite
- -
Course Description
This course is designed to explain the importance of money and banking to economic activity. This course offers a systematic analysis of monetary theories and the financial system. Apart from exposing students to different approaches in monetary analysis, the course places a special emphasis on the up-to-date analysis of how information costs affect financial structure and monetary policy. The course will cover the structure and importance of the financial system, the functions of money, behavior of interest rates, financial structure and asymmetric information, bank management and regulation, debates on macroeconomic and monetary policies, the targets and instruments of monetary policies, the transmission mechanism of monetary policy and its effectiveness, money and inflation, rational expectations and its applications.
MONEY AND BANKING
Evaluation Tools (Active Term)
No evaluation items have been defined.
Course outcomes
- 01 Assessing economic performance of banks
- 02 Analysis of bank data
- 03 Assessing performnce of different banks
- 04 Correctly interpreting central bank activities and decisions
Course Syllabus
| Week | Topic |
|---|---|
| Week 1 | Role of money in a market economy. Gold standard. Gold exchange standard |
| Week 2 | The money supply. Fisher's equation of exchange |
| Week 3 | The money creation process and the central bank |
| Week 4 | Services provided by commercial banks |
| Week 5 | Interbank relations and activities |
| Week 6 | Benchmakr interest rates. The Treasury rate. LIBOR |
| Week 7 | Midterm exam |
| Week 8 | Major international currencies |
| Week 9 | Current issues in international banking |
| Week 10 | Monetary policy and the central bank |
| Week 11 | The FED, ECB, Bank of Englnd, Reserve bank of India, Central Bank of Turkey |
| Week 12 | Risk and time structure of interest rates |
| Week 13 | Stress tests of banks |
| Week 14 | - |
| Week 15 | - |
Reference Books & Course Materials
- 01 The Economics of Money and Banking and Financial markets by Frederick S. Mishkin PEARSONS 10TH EDITION IABN-13-978-0132770248
Learning Outcomes
- L01 To assess economic performance of global banking sector SOLO 4
- L02 To derive possible outcomes through solid knowledge and understanding of the role of financial system in the economy SOLO 4
- L03 To evaluate the evolution of money and the role of the money in economic transactions SOLO 5
- L04 To articulate the contribution of banking to the economy SOLO 5
- L05 To investigate economics of Financial Intermediation and the role of financial intermediaries. SOLO 4
Program Outcomes
- P01 1- To have advanced theoretical and practical knowledge supported by textbooks, application tools and other resources including current information in the field of Accounting and Finance.
- P02 2- To be able to use advanced theoretical and practical knowledge acquired in the field of Accounting and Finance.
- P03 3- To be able to interpret and evaluate data, identify problems, analyze and develop solutions based on research and evidence by using advanced knowledge and skills acquired in the field of Accounting and Finance.
- P04 4- To be able to take responsibility as an individual and a team member in order to solve complex and unpredictable problems in accounting and finance applications.
- P05 5- To be able to plan and manage activities for the development of employees under the responsibility of a project.
- P06 6- To be able to determine the learning requirements in the field of Accounting and Finance and to direct their learning.
- P07 7- To be able to inform people and institutions about issues related to the field of accounting and finance, and to be able to transfer their ideas and solution proposals in writing and orally.
- P08 8- To be able to use information and communication technologies together with computer software at the European Computer Driving License Advanced Level required by the field of Accounting and Finance.
- P09 9- To act in accordance with social, scientific, cultural and ethical values in the stages of collecting, interpreting, applying and announcing the results related to the field of accounting and finance.
Po-Lo Matrix
| LO | P01 | P02 | P03 | P04 | P05 | P06 | P07 | P08 | P09 | Average |
|---|---|---|---|---|---|---|---|---|---|---|
| L01 | - | - | - | - | - | - | - | - | - | - |
| L02 | - | - | - | - | - | - | - | - | - | - |
| L03 | - | - | - | - | - | - | - | - | - | - |
| L04 | - | - | - | - | - | - | - | - | - | - |
| L05 | - | - | - | - | - | - | - | - | - | - |